Chandigarh, September 29, 2026 (Yes Punjab News)
The Enforcement Directorate (ED) has conducted fresh searches at 14 premises across Chandigarh, Mohali and Panchkula as part of its money laundering investigation into the alleged embezzlement of Rs 645 crore in public funds belonging to the Haryana government, the Chandigarh Municipal Corporation and other government accounts.
The searches were carried out by the ED’s Chandigarh Zonal Office II under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. The agency initiated its investigation following an FIR registered by the Haryana Police in February over discrepancies in the balances of bank accounts belonging to the Development and Panchayat Department of Haryana, maintained with IDFC First Bank and AU Small Finance Bank.
The latest searches covered several jewellers and their associated entities, including Malik Jewellers, KLG Jewels and its associate entities, M.B. Gold Traders, Sham Jewellers and Sunder Jewellers. The premises of Gourav Kansal, who allegedly acted as a middleman in routing and layering the proceeds of crime, were also searched.
According to the ED, the investigation has revealed that the allegedly embezzled public funds were routed and layered through bank accounts of various jewellers and presented as business transactions. These transactions were allegedly carried out in connivance with the accused to conceal the proceeds of crime and project them as legitimate funds.
The agency has further found that the jewellers were allegedly involved in laundering proceeds of crime generated through bank accounts of various Haryana government departments and the Chandigarh administration. The funds allegedly laundered through these entities are also suspected to have reached accused IAS officers and other government servants allegedly involved in the IDFC First Bank fraud.
Meanwhile, the Central Bureau of Investigation (CBI) has filed a third chargesheet before the Special Court in Panchkula, naming six Haryana-cadre IAS officers and other government servants in connection with the alleged fraud.
The ED had earlier arrested four accused for their alleged involvement in money laundering. It has also attached, seized and frozen movable and immovable assets worth approximately Rs 211 crore in connection with the case.
The agency has additionally filed a prosecution complaint against 14 accused before the Special Court under the PMLA in Panchkula.
The latest searches led to the recovery of further evidence relating to the routing, layering and concealment of proceeds of crime, as well as their projection as legitimate funds through various entities and bank accounts.
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