Mumbai: Special Court Permits Auction Of 13 Gitanjali Gems Properties Owned By Fugitive Mehul Choksi

Mumbai: A special court on Thursday allowed the official liquidator of Gitanjali Gems Limited, the retail jewellery company owned by Indian-born fugitive Mehul Choksi, to auction around 13 properties held in the name of the firm and keep the funds in fixed deposit.

The liquidator had moved a plea last week to allow it to get valuation of 13 properties of Choski, which are not secured, and sell them by way of auction. The Enforcement Directorate’s prosecutor, Kavita Patil, did not offer any objection to the plea.

These properties include seven flats in Kheni Tower, Santacruz, a commercial unit in Bharat Diamond Bourse, four office units and a shop in Surat Diamond Park. The court allowed the application stating, “If the properties are kept idle without maintenance then they will definitely reduce in value.”

The liquidator will auction the properties after their valuation. Later they will be allowed to open a fixed deposit account with ICICI Bank (being the lead bank for GGL Consortium and NWL Consortium) with respect to proceeds from the sale of the assets.

The sale proceeds will be distributed after the court decides the plea of the prosecution, which wants Choksi to be declared a fugitive economic offender.