Is Mehul Choksi’s extradition imminent? Here’s what the India-Belgium treaty says

Belgian police have arrested Indian fugitive diamond merchant Mehul Choksi, reports said on Monday, April 14. Choksi was reportedly arrested on Saturday, April 12.

Choksi, 65, wanted in India in connection with a ₹13,500-crore Punjab National Bank (PNB) loan fraud, has been evading authorities since 2018.

After the Interpol Red Notice against Choksi was revoked in March 2023, Indian investigation agencies — the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI) — renewed efforts to extradite him from Belgium.

The Belgian government had earlier this year confirmed Choksi and his wife had relocated from Antigua to Belgium.

India-Belgium Extradition Treaty

In March 2020, the Union Cabinet, led by Prime Minister Narendra Modi, approved the signing and ratification of the extradition treaty between India and Belgium. 

Both countries agreed to extradite to the other any person found in their territory who is accused or convicted of an extraditable offence in the territory of the other country.

The treaty allows extradition on the basis of ‘dual criminality’, including for financial crimes. This means that an individual can be extradited only if the offence is punishable in both the countries.

"An extraditable offence means an offence punishable under the laws of both the parties (read countries) with imprisonment for a period of one year or more severe punishment. Where extradition is sought in respect of a convicted person, the duration of the sentence remaining to be served must be at least six months at the time of making the request. Offences relating to taxation, or revenue or is one of a fiscal character also fall within the scope of this Treaty," the government said in a press release in 2020.

Extradition is discretionary

The India- Belgium extradition treaty allows the transfer of fugitives accused of serious crimes such as murder, rape, manslaughter, bigamy, forgery, counterfeiting, embezzlement, and fraud. However, extradition of nationals is discretionary. The nationality will be determined at the time the offence was committed.

The treaty has some conditions, though. Extradition can only be granted if the alleged offence is considered a crime under the laws of both countries. The agreement says that India or Belgium are not obligated to extradite their own nationals, whether by birth or naturalisation, under any circumstances.

"Provided that the surrender shall be, made only when, in the case of a person accused, the Commission of the crime shall, be, so established as that the laws of the country where the fugitive or person accused shall be found would justify his apprehension and commitment for trial if the crime had been there committed, and in the case of a person alleged to have been convicted, on, such evidence as, according to the laws of the country where he is found, would prove that he had been convicted," the treaty reads.

The new Extradition Treaty, ratified in March 2020, replaced the pre-Independence Extradition Treaty between Great Britain and Belgium of 1901, which was made applicable to India through the exchange of Letters in 1958. Due to the present procedural requirements and the fact that only a limited number of offences are listed under the pre-Independence Treaty, the old treaty had become obsolete.

Can the extradition be refused?

Under the Treaty, extradition shall be refused if:

• The offence involved is a political offence. However, the Treaty specifies certain offences which will not be considered political offences.
• The offence for which extradition is requested is a military offence.
• The request for prosecution has been made for the purpose of prosecuting or punishing the person on account of his race, sex, religion, nationality or political opinion.
• The prosecution of enforcement of sentence has become time-barred.

Extradition not an easy task, says whistle-blower

PNB scam whistle-blower Hariprasad SV said it would be very difficult for India to get Choksi back home as he will employ the best lawyers in Europe to avoid the process. Hariprasad recalled the time when Choksi succeeded in evading the process when he was caught in Dominica.

"Extradition is not an easy task. Choksi's wallet is full, and he will employ the best lawyers in Europe to avoid the process like what Vijay Maliya has been doing. I don't think it is going to be easy for India to get him back," he told news agency ANI.

On July 26, 2016, Bengaluru-based entrepreneur Hari Prasad had written to the Prime Minister's Office (PMO), raising concerns about a potential large-scale scam. In his communication, Prasad pointed out that the balance sheets contained clear indicators that something was amiss.

What's the case?

Choksi, the absconding diamond trader and the owner of Gitanjali Group, a retail jewellery firm in India, is wanted in India in connection with a ₹13,500-crore PNB bank loan fraud case.

Choksi, along with his nephew Nirav Modi, is accused in the PNB scam. The duo allegedly defrauded the bank of more than ₹13,500 crore.

Choksi, Modi, their family members and employees, bank officials and others were booked by the ED and CBI in 2018 for perpetrating the alleged fraud in the Brady House branch of the PNB in Mumbai.

Choksi, through his firm Gitanjali Gems and others, is alleged to have cheated the bank in collusion with certain officials by fraudulently obtaining Letters of Undertaking (LoUs) and enhancing Foreign Letters of Credit (FLCs) without following proper procedures, causing financial losses to the bank.

So far, the ED has filed three charge sheets against Choksi, while the CBI has also submitted similar charges.

From Antigua to Antwerp

Choksi was previously believed to have lived in Antigua and Barbuda before travelling to Belgium. 

Choksi's nephew, Nirav Modi, lodged in a London jail, is contesting his extradition to India after repeated denial of bail by courts. In May 2021, Choksi went missing from Antigua but was traced and returned to it later.

Earlier, reports from Antiguan media suggested that Mehul and Preeti Choksi are considering settling in Geneva. Earlier this year, Choksi's legal counsel informed a special court in Mumbai that he is currently in Antwerp, Belgium, undergoing treatment for blood cancer.

Two weeks ago, Mehul Choksi and his wife, Preeti, obtained F-Residency cards in Belgium. Preeti, a Belgian citizen, has family ties in the country, as does Choksi's extended family.

(With agency inputs)