A special court under India’s Prevention of Money Laundering Act (PMLA) has cleared the auction of 13 properties belonging to the defunct jewelry firm Gitanjali Gems, once owned by fugitive diamond tycoon and Antiguan citizen Mehul Choksi.
The court authorized the official liquidator to proceed with the auction and ordered that all proceeds be placed in a fixed-deposit account under the court’s name to safeguard the funds pending further judicial direction.
According to court filings, the properties carry an estimated value of ₹46 crore (approximately USD $5.5 million).
They include four luxury flats in the Tatva Urja project in Borivali, a commercial unit in the Bharat Diamond Bourse with 14 parking spaces, six industrial units in Virwani Industrial Estate, Goregaon (East), and one in Udyog Nagar, Goregaon.
In granting the order, Special Judge A.V. Gujarathi cautioned against delays that could lead to depreciation. “If the property is kept idle and without maintenance, then it will definitely reduce the value,” the judge noted.
The decision follows a similar order in February permitting the valuation and sale of other Gitanjali Gems properties through public auction.
Choksi, who obtained citizenship in Antigua and Barbuda in 2017 under its Citizenship-by-Investment Programme, left India in January 2018 claiming he sought medical treatment abroad.
His lawyers insist he did not abscond but cannot return because his passport was revoked and he suffers from health problems.
Indian authorities allege that Choksi and his companies defrauded Punjab National Bank by fraudulently obtaining Letters of Undertaking.
The Central Bureau of Investigation (CBI) and Enforcement Directorate (ED) have since launched probes and seized multiple assets linked to Gitanjali Gems.
The latest court-approved liquidation represents another step in India’s efforts to recover funds and advance proceedings in one of the country’s largest-ever banking fraud cases.
