PATNA: The Enforcement Directorate (ED) has lodged a prosecution complaint in the Special PMLA Court in Patna against Arun Yadav, Kiran Devi, Rajesh Kumar Ranjan, and Dipu Kumar, as well as their company, Kiran Durga Contractors Pvt Ltd, for money laundering.
This case centers around substantial illegal funds generated primarily through unauthorized sand mining in Bihar, alongside corruption and related criminal activities. The investigation commenced following multiple FIRs filed by Bihar Police and the Special Vigilance Unit alleging various offenses, including cheating, extortion, illegal sand mining, and possession of assets disproportionate to their lawful income.
During the inquiry, the ED discovered that between 2014-15 and 2024-25, Arun and his family accrued assets valued at approximately Rs39.31 crore, while their legitimate earnings for that period totaled just around Rs2.65 crore, resulting in an unexplained asset discrepancy of about Rs36.66 crore.
The investigation revealed that the illegal proceeds stemmed mainly from banned sand mining operations and the misuse of official capacities. To conceal the origins of these funds and legitimize them, the accused employed various techniques, such as depositing large cash sums into bank accounts, misrepresenting income from dairy and animal husbandry, and channeling money through their company. The laundered funds were subsequently invested in agricultural land, residential flats, and commercial properties in Patna.
On February 27, 2024, the ED executed searches at locations tied to Arun and the company, recovering significant financial documents and records. Following this, properties worth Rs21.38 crore were provisionally attached, a move later ratified by the PMLA Adjudicating Authority.
The Special Court has registered the prosecution complaint. The accused are facing charges under Sections 3 and 4 of the Prevention of Money Laundering Act, 2002. The ED has confirmed that the investigation is ongoing to gather further evidence and identify additional involved parties.
