ED Raids in Karnataka over Valmiki ST Development Corporation Scam

The Enforcement Directorate (ED) conducted searches in four states, including Karnataka, as part of a money laundering probe involving former Karnataka minister B Nagendra and MLA B Daddal. The investigation concerns alleged irregularities in the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Limited. A Special Investigation Team (SIT) had earlier questioned the individuals.

The Enforcement Directorate (ED) on Wednesday carried out extensive searches across four states, including Karnataka, investigating alleged financial irregularities in the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation Limited. The premises of former Karnataka Tribal Welfare and Sports minister B Nagendra, and Congress MLA B Daddal, were among the locations searched.

About 20 locations in Karnataka, Andhra Pradesh, Telangana, and Maharashtra were covered under this probe. The premises of certain bullion operators in Mumbai and some linked entities were also searched as part of the investigation, which is registered under the Prevention of Money Laundering Act (PMLA).

The alleged scam came to light following the death of Corporation accounts superintendent Chandrasekharan P, who left a suicide note alleging illegal transfers of funds. As the investigation deepens, the ED teams were accompanied by armed escorts from the CRPF. The Karnataka government has assured non-interference in the ongoing ED and CBI probes.

(With inputs from agencies.)