Multi-Crore DMF Fraud: ED Raids Several Locations In Chhattisgarh

2025-09-03 03:45:21

(MENAFN- IANS) Raipur, Sep 3 (IANS) The Enforcement Directorate (ED) on Wednesday morning launched a fresh round of raids across several districts of Chhattisgarh in connection with the multi-crore District Mineral Foundation (DMF) fund scam.

The searches were carried out at the premises of several businessmen, vendors, and contractors in Raipur, Durg, Bhilai, and Bilaspur.

According to official sources, raids were conducted at the residence of prominent agricultural businessman Vinay Garg in Shankar Nagar, Raipur, and at the house of Shivkumar Modi in Durg.

Another key location searched was Villa No. 54 in Raipur, reportedly linked to agricultural equipment trader Satpal Chhabra, who operates businesses in both Chhattisgarh and Odisha.

In total, the ED is conducting searches at nearly 18 premises belonging to vendors, contractors, and middlemen suspected to be involved in the alleged misappropriation of DMF funds.

The central agency suspects that a huge portion of the fund -- running into hundreds of crores -- was siphoned off through fraudulent supply of agricultural materials such as pesticides, seeds, and equipment.

The alleged fraud was routed through the Chhattisgarh Beej Nigam during the tenure of the previous Congress government.

Businessmen, including Garg, are believed to have supplied agricultural equipment and materials in districts like Korba and Janjgir-Champa under projects financed by the DMF.

The probe is linked to the arrest of senior IAS officer Ranu Shahu, who was taken into custody earlier in connection with the same scam.

Shahu, along with other accused, is alleged to have facilitated the diversion of DMF money that was meant for the welfare and development of mining-affected areas.

An ED team comprising 8-10 officers is conducting the ongoing searches, which are expected to continue throughout the day.

So far, the agency has not issued an official statement on the latest action. However, sources indicate that more high-profile names could come under the scanner as the investigation progresses.

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