SEBI Freezes Mehul Choksi’s Bank Accounts And Investments To Recover Rs 2.1 Crore

MUMBAI: The Securities and Exchange Board of India (SEBI) has ordered the attachment of absconding businessman Mehul Choksi’s financial institution accounts, mutual price range, and stocks to be able to recuperate Rs 2.1 crore. The quantity is said to a penalty imposed on him for violating insider buying and selling laws within the stocks of Gitanjali Gems. Choksi, who was once the Chairman and Managing Director of Gitanjali Gems, is accused of sharing unpublished price-sensitive knowledge (UPSI) with an affiliate, Rakesh Girdharlal Gajera.

Based on that knowledge, Gajera bought off his whole 5.75 according to cent stake within the corporate in December 2017, allegedly to keep away from losses sooner than main points of fraudulent actions involving the corporate become public.

In January 2022, the SEBI fined Choksi Rs 1.5 crore and banned him from buying and selling within the securities marketplace for three hundred and sixty five days.

However, Choksi didn’t pay the nice, prompting the SEBI to factor a requirement understand on May 15, 2025. When he failed to reply or make the cost throughout the 15-day cut-off date, the marketplace regulator proceeded with the attachment of his property.

The general dues now stand at Rs 2.1 crore, together with Rs 60 lakh in hobby. In its understand dated June 4, the SEBI directed all banks, depositories like CDSL and NSDL, and mutual fund homes to freeze Choksi’s accounts.

While no cash can also be withdrawn, credit are nonetheless allowed. The marketplace regulator has additionally suggested banks to grab any lockers in his title.

The marketplace regulator defined that the motion was once vital as a result of there’s a robust risk that Choksi might attempt to transfer or cover his property, which might extend or save you the restoration procedure.

“Whereas no amount has been paid by the defaulter and there is sufficient reason to believe that the defaulter may dispose of the amounts/proceeds in the bank accounts held with your bank and realisation of the amount due under the recovery certificate would in consequence be delayed or obstructed,” the marketplace regulator mentioned.

Choksi, who could also be the maternal uncle of Nirav Modi, has been dealing with felony motion in reference to the Punjab National Bank (PNB) fraud case involving over Rs 14,000 crore.

Both Choksi and Modi fled India in early 2018 when the rip-off got here to mild. Choksi were dwelling in Antigua since 2018 however was once arrested in Belgium in April this yr after Indian government asked his extradition.

He was once reportedly in Belgium for scientific remedy. Meanwhile, Nirav Modi stays in a UK prison after being arrested through the Scotland Yard in 2019.