PNB Scam: Accused's assets 234% above known income

Gokulnath Shetty, who is accused in the Punjab National Bank (PNB) scam involving diamantaires Nirav Modi and Mehul Choksi, has disproportionate assets that are 238.44% above his known sources of income, the CBI has claimed.

Adding more trouble to Shetty, the CBI has now registered an FIR against him and his wife Ashalata, who is a Clerk in Indian Bank in Mumbai invoking sections of Prevention of Corruption Act, 1988.

Shetty, who was Deputy Manager in PNB when the PNB scam of over Rs 11,400 crore became public earlier this year, is accused of fraudulently issuing Letters of Understanding and Letters of Credit for Nirav and Choksi. The CBI and Enforcement Directorate are investigating the case and have filed multiple chargesheets against the accused.

According to CBI officials, they received information about the disproportionate assets of the Shetty and his wife during the investigations of the PNB scam.

Officials said they examined their assets between 1 April 2011 and 31 May 2017, the day Shetty retired from PNB and found that the couple had "acquired disproportionate assets to the tune of Rs 2,63,01,801, which are 238.44% disproportionate to their known sources of income".

"Ashalata Shetty has also been found to have actively assisted her husband in the concealment and acquisition of assets raised from ill-gotten wealth and thereby has abetted the offence of possession of disproportionate assets by a public servant," the CBI FIR said.

According to the CBI FIR, their combined assets was Rs 47.12 lakh, which included two flats and Rs 5,788 in two bank accounts in April 2011 while the assets in May 2017 was Rs 1.24 crore, which meant the assets acquired during this period was Rs 77.86 lakh.

Their income was Rs 1.10 crore while the expenditure was Rs 2.95 crore. The expenditure included instalment payment of Rs 2.35 crore for a flat in Mumbai's Malad West, instalment payment of Rs 15 lakh for a flat in Raigad and Rs 12.21 lakh for another flat in Mumbai. Besides, the couple also paid insurance premium.

The CBI analysis said that the likely savings during the check period was Rs 1.85 crore, taking the total assets above the known source of income to Rs 2.63 crore.

A senior CBI official said the fresh case emanated from the PNB scam investigation and it was a routine measure by investigators.