Raipur, Oct 12 (IANS) The ED arrested a key accused in the Chhattisgarh Custom Rice Milling Scam involving illegal collection of Rs 147 crore from rice millers in exchange for clearing their bills, an official said on Monday.
The Directorate of Enforcement (ED), Raipur Zonal Office, arrested Ram Gopal Agarwal on October 9, under the provisions of Section 19 of the Prevention of Money Laundering Act (PMLA), 2002, and later got his custody from the Special Court (PMLA), Raipur, for five days, the ED official said in a statement.
The ED investigation was initiated on the basis of a prosecution complaint filed by the Income Tax Department under various sections of the Indian Penal Code, 1860, the statement mentioned.
Subsequently, an FIR was registered by the ACB/EOW, Raipur, under various sections of the IPC, 1860, and the Prevention of Corruption Act, 1988, it said.
The investigation revealed that the special incentive for custom rice milling was increased from Rs 40 to Rs 120 per quintal for the Kharif season 2021-22. Thereafter, a syndicate comprising office-bearers of the Chhattisgarh State Rice Millers Association and officials of MARKFED allegedly collected cash from rice millers at the rate of Rs 20 per quintal against the release of incentive payments, said the statement.
Bills of rice millers who refused to pay the illegal amount were deliberately withheld. In this manner, approximately Rs 147 crore was allegedly collected between December 2022 and July 2023, constituting proceeds of crime under the PMLA, 2002, the ED said.
An investigation revealed that Agarwal played a key role in organising, supervising and controlling the illegal collection of cash from rice millers. He allegedly conveyed instructions for the collection of illegal payments through office-bearers of the Rice Millers Association, it said.
The cash collected from different districts was reportedly handed over to Roshan Chandrakar, then Treasurer of the Association, who regularly provided district-wise collection details to Agarwal for verification. The illegally collected cash was thereafter allegedly delivered to persons nominated by him, the ED said.
During the investigation, Agarwal was found to be evasive and non-cooperative and allegedly failed to disclose relevant information regarding the collection, handling and utilisation of the proceeds of crime, it said.
Accordingly, he was arrested on October 9 under Section 19 of the PMLA, 2002, and produced before the Special Court (PMLA), Raipur, which granted five days of ED custody, said the statement.
–IANS
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