Nirav Modi scam: Time to privatise nationalised banks?

Nirav Modi, the billionaire diamond trader who is at the centre of the Punjab National Bank multi-crore scam had changed his status from resident Indian to Non-Resident Indian (NRI) before the incident came to light, Business Today reported.

It is still unclear whether Indian banks, especially PNB, were aware of their borrower's status being changed to NRI.

All along, Nirav Modi was classified as an Indian promoter of his borrowing companies that were issued Letters of Undertaking (LoUs). Many other banks also had a fund and non-fund based exposure to his other companies.