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KPSC Recruitment Case: Complaint Before ED Alleges Over Rs 1,000 Crore in Proceeds of Crime

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Bengaluru, September 14, 2026 (Yes Punjab News)

A formal complaint submitted to the Directorate of Enforcement (ED), Bengaluru Zonal Office, has sought an investigation into alleged large-scale corruption in Karnataka Public Service Commission (KPSC) recruitment examinations, including registration of an Enforcement Case Information Report (ECIR) under the Prevention of Money Laundering Act (PMLA).

The complaint, dated September 11 and received by the ED, came to light on Monday. It was submitted without identifying the complainant and alleges a systematic bribery and corruption network involving the KPSC Gazetted Probationers (KAS) Examination 2023-24 and other recruitment examinations conducted during the tenure of the then KPSC office-bearers.

The allegations include organised bribery, alleged extortion of interview candidates, question paper tampering and generation of unaccounted “proceeds of crime” potentially exceeding Rs 1,000 crore.

The complaint has sought an ED probe into alleged irregularities surrounding recruitment to 384 Group A and Group B Gazetted Probationer posts, besides other examinations conducted by the KPSC. It alleges that the offences attract provisions of the Prevention of Corruption Act, 1988, as well as penal provisions relating to criminal conspiracy, cheating, breach of trust by public servants and extortion.

According to the complaint, cash collections allegedly running into tens of crores were made through middlemen, staff drivers, private coaching operators and other intermediaries in connection with recruitment to posts including Assistant Commissioners, Tahsildars and Deputy Superintendents of Police.

The complainant has claimed that the alleged funds constitute “proceeds of crime” under Section 2(1)(u) of the PMLA and has urged the ED to trace, freeze and attach properties allegedly acquired through the suspected racket.

The KPSC recruitment notifications for the 384 Gazetted Probationer posts were issued on February 26, 2024, and February 13, 2025. Of the total vacancies, 310 were under the Residual Parent Cadre and 74 under the Kalyana Karnataka/Hyderabad-Karnataka cadre.

The complaint has also alleged manipulation of the prescribed 1:3 ratio for shortlisting candidates for the personality test. Under the statutory rules, 1,152 candidates should have been shortlisted for 384 vacancies. However, it alleges that the list was expanded to 1,158 candidates by adding six candidates, purportedly to accommodate pre-selected candidates who had allegedly paid kickbacks.

The complaint has asked the ED to examine financial transactions linked to the alleged racket, identify those involved and initiate action under the PMLA.

The allegations also extend to alleged tampering with OMR answer sheets and the purported illegal sale of government jobs, including recruitment of around 400 veterinary officers. The complaint alleges that question paper leaks, nepotism and manipulation of OMR sheets were used to inflate marks in favour of selected candidates.

KPSC Chairman Shivashankarappa S. Sahukar has been suspended in connection with the case, while IAS officer Gyanendra Kumar Gangwar, former Controller of Examinations at the KPSC, has been arrested and questioned by the Special Investigation Team of the Criminal Investigation Department (CID).

The allegations contained in the complaint are subject to investigation and have not been established by a court.

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