London: Fugitive diamantaire Nirav Modi, prime accused in the multi-crore PNB fraud case was arrested on Tuesday by the police a day after a London court issued an arrest warrant against him. Modi was arrested from London's Holborn metro station. He was produced before the Westminster Court in London on Wednesday afternoon, which remanded him in custody till March 29, saying there substantial grounds to believe that he would fail to surrender if granted bail.

"Nirav Deepak Modi, 48, was arrested on behalf of the Indian Authorities on Tuesday in Holborn," the Metropolitan Police said in a statement. He was produced before the Westminster Magistrates' Court on Wednesday, where he contested his extradition to India.

District Judge Marie Mallon denied bail to Modi and remanded him in custody till March 29, saying there was substantial grounds to believe that he would fail to surrender if granted bail.

On March 18, the court had issued an arrest warrant against Nirav Modi in response to a request by the Enforcement Directorate (ED) for his extradition from the UK in a money laundering case.

"The extradition process of Nirav Modi is on, we are doing everything as per the law. It takes its own time. The process is legalistic from their side also," sources in Central Bureau of Investigation (CBI) told ANI.

"When we issue a Red Corner Notice (RCN), it is an (international) warrant against the person to whom it is issued," the sources said.On Monday, a London court issued an arrest warrant against diamond merchant Nirav Modi, who is wanted in India for an alleged loan default case, according to the sources in the Enforcement Directorate.

The provisional arrest warrant against the billionaire, who was recently spotted on the streets of London wearing an Ostrich skin jacket worth almost Rs 10 lakh, was issued by the Westminster court. On March 18, the court had issued an arrest warrant against Nirav Modi in response to a request by the Enforcement Directorate (ED) for his extradition from the UK in a money laundering case.

The CBI and the ED are investigating Modi, his uncle Mehul Choksi and others for alleged money laundering and corruption to perpetrate the alleged scam in the Brady House branch of the PNB in Mumbai that was unearthed last year.