2nd round auction of Nirav Modi’s assets begins

Mumbai The court-appointed liquidator will handle liquidity bankruptcy proceedings in the case of gold jewellery and other assets owned by the fugitive Nirav Modi as Santanu T Ray, Senior Partner of AAA Insolvency, launched the second lot of jewellery auction for Firestar Diamond International Private Ltd on Wednesday (July 12).

This lot comprises predominantly Diamond Studded Gold and Platinum Jewellery. Very exquisitely designed pieces, bangles, bracelets, earrings and finger rings. The auction date will take place on August 16.

Of course, this is happening after the successful auction of the first lot of precious jewellery, gold, platinum, silver and loose diamonds, which fetched aggregate of Rs32 crore against a reserve price of Rs30 crore.

Santanu T Ray, NCLT appointed liquidator senior partner AAA Insolvency Professionals LLP in the case of Modi-owned Firestar Diamond International Private Ltd is launching the auction of second lot of around 1,100 pieces of diamond and gemstones studded gold and platinum jewellery in an auction notice published on July 12, the date of the e-auction is scheduled for August 16.

Talking to Bizz Buzz, Ray said, “All the Jewellery items have been individually certified by Gemmological Institute of India (GII) for their purity of gold, platinum and the diamonds have been certified whether natural or CVD, clarity, colour, shape, caratage so as to enable the prospective auction buyer to be satisfied about the inventory.”

He said in the previous auction also the same process was followed, the images and certificates of the Inventory were uploaded in a data room and the qualified buyers were given access to the data room. No physical examination was offered.

He added that I am happy to note that the last lot the successful bidders were satisfied that the items they bought in the auction were delivered as per the description on their respective certificates.

The liquidator is confident that in this round too the prospective buyers will repose their faith in the process and there will be even wider participation.

This time it is only finished Jewellery unlike last time where there were loose Diamonds and raw gold silver and platinum also. The process adopted is the same that is certification by GII and valuation done by two registered valuers.

The reserve price like last time will be declared on the auction date and will depend on the price of Gold, Platinum on that date, as the metal prices vary daily it is difficult to put a reserve price one month in advance. Just like if you visit a showroom, price of a piece of jewellery will vary day to day. What is important that only the price of the Gold or Platinum and the Diamonds and gemstones that are in the jewellery is going to be factored in the reserve price. There is no making charges that are built in to the price so for any buyer of diamond studded Jewellery it is a big advantage.

Both Indian residents and foreign entities, subject to applicable Indian Laws, can participate in the auction.