ED seizes Rs 2.2-cr during raidsin land compensation ‘scam’ case

The Enforcement Directorate on Friday conducted searches at multiple locations in Arunachal Pradesh and seized about Rs 2.2 crore in cash as part of a money laundering probe linked to an alleged Trans-Arunachal Highway compensation scam, officials said.
Six premises in Itanagar and one each at Likabali (Lower Siang district) and Aalo (West Siang district ) were raided under the Prevention of Money Laundering Act (PMLA).
These include the locations of Deputy Commissioner, DLRSO (District Land Revenue and Settlement), assessment officials apart from private beneficiaries and conduits, the officials said.
The Trans-Arunachal highway compensation scam case pertains to “large-scale” irregularities in assessment, certification and disbursement of land acquisition compensation involving public servants and private beneficiaries.
The project covered a stretch of 157.70 km spread across Yachuli, Ziro and Raga sectors.
Probe found that the Deputy Commissioner, Ziro initially prepared a compensation estimate of Rs 289.40 crore for the Potin-Bopi stretch.
However, in a state-level meeting the compensation package was frozen and restricted to Rs 198.56 crore, the ED officials said.
During the disbursement of the compensation amount, funds were “diverted” to saving accounts and many cheques were issued to “fake” beneficiaries which resulted in loss of Rs 44 crore to the exchequer, they said.
This was done by preparing and certifying inflated and fictitious assessments of structures in the Yazali sector of the Trans-Arunachal Highway (Potin-Bopi) project. Non-existent structures and ineligible beneficiaries were included, the ED.
A cash amount of Rs 2.2 crore has been found at one of the premises belonging to a “fake” beneficiary, the officials said.