In a significant development in the long-standing Punjab National Bank (PNB) fraud case, Mehul Choksi, one of the key accused, has been arrested in Antwerp, Belgium, following India’s official request for extradition. Choksi, aged 65, was apprehended on Saturday, April 12, 2025, marking a key milestone in India’s pursuit of fugitives involved in large-scale financial scams.

The Enforcement Directorate (ED) and Central Bureau of Investigation (CBI) are now preparing to send a joint team of officers to Belgium. Their mission will be to liaise with Belgian authorities, complete necessary legal documentation, and expedite the extradition process. Both agencies have reportedly started internal consultations to finalize the names of two to three officers each who will travel to Belgium alongside legal experts.

Choksi, along with his nephew Nirav Modi, was booked by both the CBI and ED in 2018 after the revelation of a staggering ₹13,000 crore loan fraud at PNB’s Brady House branch in Mumbai. The duo allegedly orchestrated a scam involving fraudulent Letters of Undertaking (LoUs), which facilitated unauthorized loans from overseas branches of Indian banks.

Since the case broke, the Indian government has filed multiple charge sheets and prosecution complaints, seeking the extradition of Choksi, who had initially fled to Antigua and Barbuda and later surfaced in various jurisdictions. His latest arrest in Belgium came as a surprise, though it followed renewed diplomatic pressure and formal extradition requests submitted by the Indian government.

India-Belgium Extradition Treaty and Legal Context

India and Belgium share an extradition treaty that was ratified in 2020, replacing the archaic 1901 agreement extended to India during colonial rule. Under the treaty, both nations are committed to surrendering fugitives who are accused or convicted of offenses punishable by at least one year of imprisonment in both jurisdictions. The treaty includes offenses related to fraud, corruption, money laundering, and financial crimes—which directly apply in Choksi's case.

Choksi’s Legal Team Fights Back

Despite the arrest, Choksi's extradition may not be immediate. His legal team is already challenging the arrest and plans to file a bail plea. According to his lawyer, the application will be grounded on his ongoing treatment for cancer and the argument that he does not pose a flight risk. Additionally, Choksi’s team has called the charges politically motivated, attempting to invoke a clause in the extradition treaty that allows refusal if the prosecution is deemed political.

The extradition treaty specifically mentions that politically motivated requests, or those appearing to target an individual based on race, religion, nationality, or political opinion, may be denied. However, it also clarifies that economic crimes, including corruption and fraud, will not be considered political offenses.

This distinction will likely be a central focus during the extradition hearings in Belgium. Choksi's lawyers may attempt to paint the Indian government’s efforts as retaliatory or politically influenced, but India is expected to argue that the charges are strictly financial and criminal in nature.

What Happens Next?

Senior officials in India’s ED and CBI have held several meetings to assess the situation and prepare a strong legal case for extradition. The selected officers, along with legal representatives, will soon travel to Belgium and present India’s arguments in local courts and to Belgian authorities.

A spokesperson for the Antwerp Police confirmed the arrest, stating, “This action concerns an arrest ordered by the international service, Antwerp Public Prosecutor’s Office, following the service of an extradition procedure and the decision declaring a foreign arrest warrant enforceable.”

Meanwhile, Nirav Modi, Choksi's nephew, continues to battle extradition from the United Kingdom, where he was arrested in 2019 and is currently lodged in a British prison while contesting India’s request.

India’s Broader Push Against Economic Offenders

The arrest of Mehul Choksi is seen as a major victory in India’s ongoing crackdown on economic fugitives who have fled abroad to evade prosecution. Since 2018, the Indian government has passed the Fugitive Economic Offenders Act, allowing for the seizure of properties belonging to individuals who refuse to return to face prosecution in India. Several high-profile fugitives, including Vijay Mallya and Nirav Modi, have faced similar actions.

Choksi, who once held Antiguan citizenship, had claimed protection under that jurisdiction’s legal framework. However, over time, with mounting international pressure, his freedom to move globally had significantly reduced, culminating in his unexpected presence in Belgium and subsequent arrest.

Conclusion

Mehul Choksi’s arrest in Belgium is a significant breakthrough for Indian investigative agencies who have spent years building a case involving complex financial transactions, shell companies, and overseas investments. If extradited, Choksi will face trial for charges including conspiracy, cheating, forgery, and criminal breach of trust, alongside charges under the Prevention of Money Laundering Act (PMLA).

However, the road to extradition remains filled with legal hurdles, particularly given the anticipated defense strategy focusing on health and political motivation. Nonetheless, with the CBI and ED stepping up efforts and diplomatic ties between India and Belgium being strong, the chances of bringing Choksi back to India appear higher than ever.

The coming weeks will be crucial as the legal and diplomatic machinery swings into action, with global attention now once again focused on India’s biggest banking fraud case and the fate of one of its most high-profile accused—Mehul Choksi.

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