London, Sep 06: Fugitive diamond merchant Nirav Modi, who has been lodged at a prison in London since his arrest in March last year, is set to appear via videolink for the second leg of his extradition trial at a UK court on Monday.
The 49-year-old jeweller is fighting extradition charges related to the estimated USD 2-billion Punjab National Bank (PNB) fraud and money laundering case brought by the Indian government, being represented at Westminster Magistrates' Court in London by the UK's Crown Prosecution Service (CPS).
In line with the coronavirus lockdown restrictions, District Judge Samuel Goozee has directed Nirav Modi's appearance from a room in Wandsworth Prison in south-west London with social distancing norms in place for the part-remote setting for the five-day hearing scheduled to conclude on Friday.
Justice Goozee had presided over the first leg of the extradition in May, during which the CPS sought to establish a prima facie case of fraud and money laundering against Nirav Modi. The upcoming hearings are ear-marked to complete those arguments after the Indian government had submitted additional "corroboratory evidence".
It will then go on to deal with the additional extradition request, made by the Indian authorities and certified by UK Home Secretary Priti Patel earlier this year, which add on the charges of "causing the disappearance of evidence" and intimidating witnesses or "criminal intimidation to cause death" against Nirav Modi.
Justice Goozee has already said that the different extradition requests are inextricably linked, and he would therefore be handing down his judgment at the end of hearing all the arguments.
Additional hearings scheduled for November 3, for the judge to rule on the admissibility of the evidence that will be presented before him, and December 1, when both sides will make their final submissions, mean his ruling on whether Nirav Modi has a case to answer before the Indian courts is expected only after the final hearing in December.
The charges against the diamond merchant centre around his firms Diamonds R Us, Solar Exports and Stellar Diamonds making fraudulent use of a credit facility offered by PNB, known as "letters of undertaking" (LoUs).
The CPS, appearing on behalf of India, had told the court that a number of PNB staff conspired with Nirav Modi to ensure LoUs were issued to his companies without ensuring they were subject to the required credit check, without recording the issuance of the LoUs and without charging the required commission upon the transactions.
Nirav Modi's team has sought to counter allegations of fraud by deposing witnesses to establish the volatility of the gems trade and that the LoUs were standard practice.
Nirav Modi has made repeated attempts at bail over the past year, each of which were turned down as he is deemed a flight risk. The jeweller was arrested on March 19, 2019, on an extradition warrant executed by Scotland Yard.
At a case management hearing ahead of the trial last week, Nirav Modi's barrister Clare Montgomery had told the judge that she may be seeking a partial reporting ban on the proceedings following allegations of "party political bias" against one of their expert witnesses from India - retired Indian High Court judge Abhay Thipsay.
"We may have to put in an application for reporting restrictions around the reporting of his [Thipsay] evidence to avoid further public commentary on it," she said.
From the legal documents submitted, prison conditions in India will once again play a major part in this extradition case, as in the past with other Indian extradition cases, with Nirav Modi's severe mental health condition being a factor to be raised behind closed doors.