Shankar Prasad told a press conference assets worth Rs 1300 crore have been seized and a look-out-notice against Modi has been issued, ANIreported.
Priyanka had then said: "Nirav and I are fiercely proud of our heritage and are united by the idea of bringing a modern India to the global forefront".
He also took exception to "Chota Modi" jibe.
Is this going to be the biggest fraud case in India's banking history? It is unclear whether the latest statement is related to an earlier allegation that billionaire jeweller Nirav Modi and others defrauded the bank of more than $40 million.
On Thursday, Enforcement Directorate officers raided Modi's Mumbai home and other premises belonging to the jeweller.
A day after high-level fraudulent practice to the tune of $1.8 billion in one of the Punjab National Bank's Mumbai branch was reported to the stock exchanges, Sunil Mehta, MD and CEO of the bank, said it "will not spare anyone" involved in the wrongdoing. Anything that happens now will be based on the law and genuineness of underlying transactions. PNB has also suspended 10 of its officials in connection with the case. His answer was in response to a question whether any foreign bank branch was also affected. "All this was being carried out in connivance with officials as high as Deputy General Manager since 2011", sources said.
Stung by a massive Rs11,400 crore fraud, state-run Punjab National Bank (PNB) has lost over Rs8,000 crore of market valuation in two days-an amount equivalent to over six-times its full-year profit.More news: Loris Karius 'feeling comfortable' with Virgil van Dijk in Liverpool defence
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Banks are now looking at their processes so that such frauds are not repeated, he said, adding all banks have been asked to present a status report as soon as possible.
The PSU Banking Index fell 1.1% mainly due to PNB, Bank of Baroda, IDBI and Syndicate Bank.
The employees allegedly didn't make entries in the bank system, and avoided detection by using the SWIFT system.
Modi is the son and grandson of diamond traders.
In the complaint, PNB had named three diamond firms - Diamonds R Us, Solar Exports and Stellar Diamonds - saying they had approached it on January 16 with a request for buyers' credit for making payment to overseas suppliers.
Modi grew up in Belgium, dropped out of Wharton and moved to India where he got trained in the diamond trade under his uncle, according to Forbes. "In 2015, the inauguration of his first store in New York's Madison Avenue was attended by Donald Trump". The store launch was graced by celebrity guests such as U.S. presidential contender Donald Trump, Hollywood actress Naomi Watts and leading model Coca Rocha.
The following year, Winslet wore a Nirav Modi bracelet, ring and earrings at the Oscars.