Firestar Diamond Inc, the jewelry company owned by billionaire jeweler Nirav Modi, has filed for bankruptcy in a New York court, according to multiple news sources. Firestar Diamond is in the center of an investigation of a $2 billion fraud case in India.
According to the bankruptcy filing, Firestar Diamond listed $50 million to $100 million in assets and liabilities. It claimed it had 50 to 99 creditors. According to Forbes, Modi has a net worth of $1.73 billion.
Modi, along with other businessmen including his uncle Mehul Choksi, owner of Indian jewelry retail giant Gitanjali Gems, is suspected of colluding with two employees of the Punjab National Bank out of nearly $2 billion, PNB announced on Monday (February 26). Over the weekend, Choksi published an open letter to his employees, telling them to “look for new jobs”.
