Minister of State for External Affairs VK Singh told parliament last week that "the ministry has sought the provisional arrest of Nirav Deepak Modi by the government of the Hong Kong Special Administrative Region (HKSAR), the People's Republic of China."
Nirav Modi, who is the main accused in the $2 billion PNB bank fraud case, is believed to be in Chinese territory.
"According to the one country two system and basic laws of the Hong Kong Special Administrative Region (SAR) and the assistance and authorisation of the central government, the Hong Kong SAR can make a proper arrangement on judicial mutual assistance with other countries," Chinese Foreign Ministry spokesperson Geng Shuang said.
Hong Kong has its own independent system where China has its say only in defence and external affairs. While India has an extradition treaty with Hong Kong, there is no such agreement with China.
He owned a chain of boutiques in Hong Kong.
With inputs from PTI and IANS
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