Mehul Choksi defaulted on Rs 152 cr loan to J&K bank
The tremors of PNB bank fraud are being felt even in the Kashmir valley after Mehul Choksi defaulted on a loan amounting to Rs 152 crore loan to the Jammu and Kashmir Bank.
Officials said Choksi had secured a Rs 121 crore loan for ‘Gitanjali Gems’ from Jammu and Kashmir Bank in 2012. Choksi, the Chairman and Managing Director of ‘Gitanjali Gems’, failed to pay his dues. Official figures reveal that Choksi’s liabilities have now climbed to Rs 152 crore including interest.
The Bank had been planning to move against Choksi and his Gitanjali Gems to recover the loans. But as Choksi has fled the country, the bank has started to weigh other options to recover the loans.
Jammu and Kashmir Bank is also pinning hopes on the banking industry which has started process against Choksi and Nirav Modi across the country.
“CBI, Enforcement Directorate (ED) and other agencies have already started proceedings against him. Plus banks across the country are also trying to get back their money. It has become an issue of the bank fraternity of the country. We are part of the fraternity”, said the officer.
J&K Bank had reported a net profit of Rs 174 Cr for the nine months that …read more
