In February 2018, the Indian government's Central Bureau of Investigation (CBI) launched an

investigation of Modi, acting on a complaint from the Punjab National Bank alleging Modi and his
partners defrauded the bank of ₹280 Crore (approximately USD 40 million) by conspiring with bank
officials to fraudulently obtain Letters of Undertaking for making payments to overseas
suppliers.[37] While ₹280 Crore is the fraud that has been alleged to date, the potential loss to Punjab
National Bank is reported to be up to ₹11000 Crore. The Enforcement Directorate (ED) is looking
into the case of fraud that the CBI has registered against Modi.[38]
A few of Modi's stores initially remained open for business as usual, including the one at Marina Bay
Sands in Singapore,[39] however these have gradually all closed.[40] On 7 March 2018, Modi's firm
Firestar Diamond Inc. applied for bankruptcy protection at a Manhattan bankruptcy court, in order to
protect its assets in the United States and their revolving credit facility with Israel Discount Bank.[41]
Modi responded to the bank on 15/16 February 2018, stating that "In the anxiety to recover your
dues immediately, despite my offer (on 13 February, a day before the public announcement, and on
15) your actions have destroyed my brand and the business and have now restricted your ability to
recover all the dues leaving a trail of unpaid debts".[42] Modi estimated his domestic business at
around Rs 6,500 Crore, and said "this could have helped reduce/discharge the debt to the banking
system," but claimed that this is now impossible as all his bank accounts have been frozen and
assets have been seized.[43] Modi bought a Rs 900 crore sea-facing property in Mumbai's coveted
Samudra Mahal properties with his wife Ami Modi.[44] His properties in India, including jewellery,
paintings, and real estate, worth about Rs 523 crore (about $100 million) have been attached by the
Enforcement Directorate.
The Enforcement Directorate (ED) attached four wind power plants, owned by Modi, in Rajasthan
with a total capacity of 9.6 megawatt (MW). The plants earn up to Rs 5 crore a year due to share
purchase agreement with Rajasthan's state electricity board. These wind power plants have been
operational since 2014-15. In March 2018, the ED had attached a 5.24 MW solar power plant spread
over 135 acres in Karjat in Ahmednagar district worth Rs 60 crore. In May 2018, the CBI and the ED
had registered two FIRs each to probe the case. Both Modi and Mehul Choksi are said to have left
the country before criminal cases were lodged against them.[45]
With the collapse of his brand, Modi's fortune has collapsed.[46] Forbes removed him from their
annual billionaires list, and on 9 March 2018, estimated his current wealth to be less than $100
million. As a result of the fiasco, the RBI has stopped issuing LoUs and LoCs for imports,[47], which
has limited the financial flexibility of importers. His company, A.JAFFE, acquired through his
Synergies Corporation, was auctioned in May 2018 and was purchased by Parag Diamond.[48] All the
stores have been since closed.[49]
In April 2018, it was alleged Modi had found safe haven in Hong Kong,[50] but in June of that year he
was reported to be in the UK where he applied for asylum, claiming he was a victim of "political
persecution" and denying any wrongdoing.[51][52][53] In March 2019, Modi was reported have been
sighted in the UK by The Telegraph. It was said that he was living in an apartment costing £8 million.
Indian authorities responded to the report by saying that an extradition request had been made to
the UK.[54] On 20 March 2019, Modi was arrested in London after a warrant was issued against
him.[55][56] Later that month, Indian tax authorities raised $8m by auctioning some of Modi's art
collection.[57]