The Enforcement Directorate (ED) has uncovered an alleged Rs 55.6 crore fake billing fraud linked to road construction projects in Madhya Pradesh and seized Rs 3.97 crore in cash in a separate investigation involving an educational society, officials said.
In the road construction case, the ED conducted searches in Rewa and Jabalpur on June 19 under the Prevention of Money Laundering Act (PMLA), 2002, based on FIRs registered by the Economic Offences Wing (EOW).
According to the agency, contractors allegedly secured government payments by submitting forged invoices related to bitumen and asphalt used in road projects. The invoices were purportedly issued in the names of public sector oil companies.
The ED said its investigation found that fake bills worth about Rs 55.6 crore had been used to obtain government payments, causing substantial losses to the state exchequer.
During the searches, officials seized property-related documents, digital devices and Rs 23.5 lakh in cash. Bank balances and fixed deposits worth Rs 2.93 crore were also frozen.
In a separate case, the ED searched 12 locations in Bhopal on June 23 as part of a money laundering investigation linked to an educational society that operates educational and healthcare institutions.
The agency alleged that funds collected through student fees, scholarship grants and bank loans were diverted to trusts, companies and other entities linked to the accused.
Searches were carried out at residences, offices, educational institutions, trusts and commercial establishments. The ED said it recovered financial records, digital devices and property documents.
Officials seized Rs 3.97 crore in cash and gold jewellery valued at Rs 3.45 crore. Further investigation is underway.
