New Delhi : Nehal Modi, the brother of fugitive diamond tycoon Nirav Modi, has been arrested in the United States following a formal extradition request by India’s Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED), officials confirmed on Friday.
The arrest is seen as a major development in India’s ongoing efforts to bring to justice those involved in the ₹13,000 crore Punjab National Bank (PNB) fraud, one of the most significant banking scams in Indian history.
According to sources familiar with the case, the U.S. Department of Justice informed Indian authorities that Nehal Modi was taken into custody on July 4, 2025, following a joint extradition plea filed by both the CBI and ED.
The U.S. prosecution’s complaint highlights two main charges:
- Money laundering under Section 3 of the Prevention of Money Laundering Act (PMLA), 2002
- Criminal conspiracy under Sections 120-B and 201 of the Indian Penal Code (IPC)
Nehal Modi is alleged to have played a pivotal role in laundering the proceeds of crime on behalf of his brother Nirav Modi, who is already facing extradition proceedings in the United Kingdom. Indian investigators claim Nehal facilitated the concealment and movement of illicit funds through a web of shell companies and complex cross-border transactions, in direct violation of Indian financial laws.
The next hearing in the extradition proceedings is scheduled for July 17, 2025, during which a status conference will be held. Nehal Modi is expected to apply for bail during the session—a motion that U.S. prosecutors intend to oppose, according to officials.
