The Chief Judicial Magistrate, Surat, on October 10 issued an order declaring Nirav Modi absconder under Section 82 CrPC. in a DRI case.
A case of diversion of Diamonds/Pearls from SEZ units, Surat by Nirav Modi was booked in Dec, 2014, by the Directorate of Revenue Intelligence, Mumbai Zonal Unit. The case was about diversion of duty free imported goods by the SEZ units of Nirav Modi Group of companies like Firestar International, Firestar Diamond International and Radashir Jewellery, all situated at Surat. These units were into import and export of diamonds, pearls and jewellery.
In the units situated at SEZ (Special Economic Zone), goods are allowed to be imported customs duty free for the purpose of export. However, during the investigation by the DRI it was revealed that the duty free diamonds and pearls imported by the companies of Nirav Modi were clandestinely diverted into the local market and substituted by the locally procured diamonds and pearls. The companies had paid Rs. 48.21 crore (customs duty along with interest and penalty) in that case. During the investigation, DRI also seized the export consignments ready for dispatch for Hongkong and Dubai, lying at Sahar Air Cargo, Mumbai, which was highly overvalued.
The Department filed prosecution in the Surat Court against Nirav Modi for his role in the evasion of customs duty against Shri Nirav Modi and his 3 companies, for offences u/s 132, 135, 140 of the Customs Act, 1962 and section 120-B of IPC, 1860.
The Chief Judicial Magistrate, Surat, had issued Arrest Warrant against Nirav Modi on 22 June. As he was not available at his known addresses and was found absconding, an application under Section 82 CrPC (Proclamation for person absconding) was moved before The Chief Judicial Magistrate, Surat, on 08.08 August. The Court proclaimed Nirav Modi absconder. This will enable DRI in addition to other things to attach his properties.