New Delhi [India]: The Directorate of Enforcement (ED) has arrested Sanjay Badaya, a middleman, in connection with its ongoing money laundering probe linked to the implementation of the Centre’s Jal Jeevan Mission (JJM) scheme in Rajasthan.
ED’s Jaipur Zonal office-based unit arrested Badaya late on Tuesday following his questioning, as his role was established during the probe as a middleman in the JJM scam.
This marks the fourth arrest in the case that is centred around an alleged Rs 20,000 crore fraud in the Central Government’s initiative to provide tap water to every household.
The ED, conducting its investigation under the Prevention of Money Laundering Act (PMLA), had carried out numerous raids in Jaipur, including at the residence of an IAS officer.
On June 19, this year, the federal agency arrested the third accused, Mahesh Mittal, a contractor linked to the case. Mittal, proprietor of Shri Ganpati Tubewell Company, was also arrested following further leads into the case.
As per officials, Badaya and Mittal, along with others, were involved in giving bribes to public servants in order to obtain illegal protection, obtaining tenders, getting bills sanctioned and covering up irregularities in works executed by them in respect of various tenders received by them from the Public Health and Engineering Department (PHED).
The role of the two accused also came to the fore in the purchase of stolen goods from Haryana for using the same in their tenders and contracts.
ED initiated an investigation on the basis of a First Information Report (FIR) registered by the Anti Corruption Brach, Jaipur, under various sections of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988, wherein it was stated that Mittal was also involved in securing tenders pertaining to JJM works based on purported fake and fabricated work completion certificates issued by IRCON by bribing senior PHED officials.
The ED investigation further revealed that both Badaya and Mittal are among the main accused and are in receipt of the proceeds of the crime.
As per the ED, the money was laundered and layered through various bank accounts held in the names of the accused and entities in the names of their family members, which were further siphoned off by investment in immovable and movable properties.
The ED has conducted several searches in this case, leading to a seizure of Rs 11.03 crore till date. Further, the ED had also arrested Peeyush Jain on February 29 and Padamchand Jain on June 13 in the same matter.