ED Cracks Down on BISWA: Over 500 Benami Accounts Frozen Amid Money Laundering Probe

The Enforcement Directorate (ED) conducted searches in Odisha and Delhi, uncovering over 500 benami accounts linked to Bharat Integrated Social Welfare Agency (BISWA). The investigation, under the Prevention of Money Laundering Act, revealed misuse of funds and bank fraud. Assets worth over 72 lakh rupees were frozen.

The Directorate of Enforcement (ED) raided four locations across Odisha and Delhi on December 18 as part of a probe into the Bharat Integrated Social Welfare Agency (BISWA). The investigation falls under the Prevention of Money Laundering Act (PMLA), 2002, according to a statement released by the agency on Friday.

According to the Authorities, initial investigations began following FIRs from the Economic Offences Wing (EOW) of Odisha Police and the Central Bureau of Investigation (CBI). The probe revealed that BISWA, headed by Khirod Chandra Mallick, misused funds intended for self-help groups and joint liability firms. Mallick also allegedly accepted public deposits against RBI guidelines, involving the organization in bank fraud totaling over Rs 200 crore.

During the operations, authorities discovered 505 suspected benami accounts linked to individuals and self-help groups, along with associated chequebooks. As a result, more than 72 lakh rupees lying in these accounts were frozen, and shares worth Rs. 10 lakh were seized alongside incriminating documents and digital devices. The investigation remains ongoing.

(With inputs from agencies.)