ED Conducts Major Raids in Arunachal Pradesh, Seizes ₹2.2 Crore in Highway Scam Probe
In a significant crackdown, the Enforcement Directorate (ED) on Friday carried out extensive searches at multiple locations across Arunachal Pradesh, resulting in the seizure of approximately ₹2.2 crore in cash. This operation is part of an ongoing money laundering investigation connected to the alleged Trans-Arunachal Highway compensation scam, according to official statements.
Widespread Raids Under PMLA
The ED executed raids under the Prevention of Money Laundering Act (PMLA) at six premises in Itanagar, along with one location each in Likabali (Lower Siang district) and Aalo (West Siang district). The targeted sites included the offices of the Deputy Commissioner, District Land Revenue and Settlement officials, assessment personnel, as well as private beneficiaries and intermediaries involved in the scheme.
Details of the Trans-Arunachal Highway Compensation Scam
The case revolves around "large-scale" irregularities in the assessment, certification, and disbursement of land acquisition compensation for the Trans-Arunachal Highway project. This scandal implicates both public servants and private beneficiaries in a complex web of fraudulent activities.
The highway project spans a 157.70 km stretch across the Yachuli, Ziro, and Raga sectors. Investigations revealed that the Deputy Commissioner of Ziro initially prepared a compensation estimate of ₹289.40 crore for the Potin-Bopi segment. However, during a state-level meeting, this amount was frozen and restricted to ₹198.56 crore.
Diversion of Funds and Fake Beneficiaries
During the compensation disbursement process, funds were allegedly "diverted" to savings accounts, and numerous cheques were issued to "fake" beneficiaries. This manipulation resulted in an estimated loss of ₹44 crore to the state exchequer. The fraud was perpetrated by preparing and certifying inflated and fictitious assessments of structures in the Yazali sector of the Trans-Arunachal Highway (Potin-Bopi) project.
Non-existent structures and ineligible beneficiaries were included in these fraudulent assessments, according to the ED. The seized cash of ₹2.2 crore was discovered at a premises belonging to one such "fake" beneficiary, highlighting the scale of the illicit activities.
Broader Implications and Ongoing Investigation
This case underscores serious governance and financial oversight issues in infrastructure projects. The ED's actions demonstrate a rigorous approach to tackling corruption and money laundering in public schemes. The investigation continues to uncover the full extent of the scam, with potential implications for both administrative accountability and legal repercussions for those involved.
The seizure of substantial cash amounts and the identification of fraudulent practices signal a determined effort to recover misappropriated funds and ensure justice. As the probe progresses, further details may emerge regarding the involvement of additional officials and beneficiaries in this high-profile compensation scandal.
