The Economic Offences Wing (EOW) and Anti-Corruption Bureau (ACB) have arrested the vice-president (marketing) of Chhattisgarh Distilleries Ltd (CDL) in connection with the alleged ₹182.98 crore overtime payment scam linked to the Chhattisgarh State Marketing Corporation Ltd (CSMCL).
Arrest Details
The arrest of N Uday Rao comes as the probe widens into alleged irregular payments made to manpower supply agencies between 2019-20 and 2023-24. Officials said Rao was taken into custody following fresh findings during the ongoing investigation in crime No. 44/2024 registered in Raipur under provisions of the Prevention of Corruption Act and IPC sections related to forgery and criminal conspiracy.
Seven other accused — Neeraj Kumar Choudhary, Ajay Lohia, Ajit Darandale, Amit Salunke, Amit Mittal, Rajeev Dwivedi and Sanjeev Jain — who were arrested earlier in the case, were on Wednesday produced before a special court after completion of their police remand and have now been sent to judicial custody.
Alleged Modus Operandi
According to investigators, though the manpower supply contract in CSMCL records was in the name of A-to-Z Infraservices Ltd, the actual field operations, billing coordination and payment management were allegedly handled by Rao on behalf of a CDL-linked entity.
“Evidence suggests that overtime, bonus and additional four-day work payments were raised on Rao’s directions. The funds were then routed through intermediaries as commission,” EOW / ACB chief Amresh Mishra said. The probe has revealed that excess payments amounting to nearly ₹183 crore were made under multiple heads — including about ₹101.20 crore towards overtime, ₹12.21 crore as bonus, ₹54.46 crore for four additional working days and ₹15.11 crore as service charges on these components.
Intermediaries and Money Trail
The agency has also flagged the alleged role of intermediaries in routing funds through a chain that ultimately benefitted key players in the syndicate. Rao was produced before the special court, while further investigation is underway to trace the money trail and identify additional beneficiaries in what is being seen as one of the biggest financial irregularities in the state’s liquor distribution system.
This case highlights significant financial mismanagement within the state's liquor distribution network, with authorities committed to uncovering all involved parties and recovering the misappropriated funds.
