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Mumbai: A day after Punjab National Bank (PNB) announced that it had unearthed fraudulent transactions worth Rs11,400 crore at one of its branches in Mumbai, the key question is who is liable to pay this amount.

Two Axis Bank managers - Shashank Sinha and Vinit Gupta - in 2016 helped the cash hoarders deposit close to Rs 40 crore in several bank accounts and transfer funds online.

It's like the repeat of Vijaya Mallya episode for the Modi government. "Has it become the norm to let people run away with public money?"

He asked how could Modi dupe the banking system under the nose of the government, which has launched a fight against black money and benami transactions. Dismissing the claims, Ravi Shankar Prasad said: "Nirav Modi did not meet PM Modi at Davos". Nirav Modi was last seen in Switzerland. Add to that, the involvement of Arun Jaitley - the finance minister has sought a status report from the ED - and this scam having turned into apolitical issue, attracting statements from Congress and AAP.

Surjewala's jibe of "Chhota Modi" also cut them to the quick. "The BJP takes strong offence to the language used. It is derogatory, scandalous and demeaning", fumed Prasad. "The legacy of NPAs comes from the Congress", he said.

The photograph shows Nirav, Narendra Modi and a host of industrialists and chief executives in Davos.

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Searches were conducted at 17 premises of Nirav Modi & Geetanjali Gems in a case related to fraud in PNB, the directorate said in a tweet.

The CBI had earlier raided the residences of Modi, his brother, wife and Choksi, all partners of Diamond R US, Solar Exports and Stellar Diamonds and two bank officials - Gokulnath Shetty (now retired) and Manoj Kharat, who were also named in the FIR as accused. He is also present in the group photo that PM had with the other Indian businessmen. If there is mistrust between banks to honour committments, will it threaten the entire banking system?

They have chose to recall all loans given to companies related to Nirav Modi and his uncle Mehul Choksi of Geetanjali Gems.

Is this going to be the biggest fraud case in India's banking history? Though the scam occurred in 2011, was detected in 2018. "By making counter allegations, there is a suspicion that the BJP is trying to hide something and protect them".

The raids came after the ED filed a money laundering case of alleged fraud of Rs 280-crore against Modi, his wife Ami, brother Nishal and business partner Mehul Choksi and others yesterday, following a complaint by Punjab National Bank (PNB).

The premises of a senior bank official was also searched.