Surat company director arrested for buying diamonds, 'not paying Rs 42cr'

MUMBAI: A director of a diamond firm has been arrested for allegedly cheating another company by not making payment for purchase of precious stones worth Rs 41.50 crore. Economic Offences Wing of Mumbai police arrested Surat resident Asha Vanani (42) for forgery. She is in police custody till Feb 18.
The company bought diamonds between 2006 and 2009 from an Israeli firm and, according to terms of trade issued documents undertaking to pay within 120 days, the police said.The accused, instead, bought properties in the names of relatives.
A cheating case was filed by Sanjay Bansali on behalf of his brother Sameer, director of Sameer Gems that sold diamonds, against directors of Niroo Impex - Govardhan Vanani, Amit Vanani and others of the family. The Vananis allegedly bought properties in names of Govardhan Vanani, wife Amruta and son Amit. A case was filed at DB Marg police station.
A police officer said the arrested accused submitted documents, offering to pay. "The documents, including power of attorney, were bogus," the officer said.
Govardhan, Amit and Amruta had moved sessions court seeking anticipatory bail. The court only granted anticipatory bail to Amruta. The others approached Bombay high court and their application is pending.
Inquiries by the inspector general of Registrar Gandhinagar, Gujarat, revealed there were 221 properties in the names of the Vananis in Valsad and Asha is one of them. Police said that Asha hid this though the properties were bought from proceeds of crime and her role was clear. Asha's lawyer said that her arrest is illegal.
Metropolitan magistrate LS Padhen observed that the arrest was made after preliminary inquiry and "objections in respect of illegal arrest are not tenable..."