The Directorate of Enforcement has arrested Sanjay Badaya, a middleman, in connection with its ongoing money laundering investigation related to the implementation of the Centre’s Jal Jeevan Mission scheme in Rajasthan.
Badaya was apprehended late Tuesday by the ED’s Jaipur Zonal office unit after his role as a middleman in the JJM scam was established during the probe.
This is the fourth arrest in a case involving an alleged Rs 20,000 crore fraud in the Central Government’s initiative to provide tap water to every household. The ED, conducting the investigation under the Prevention of Money Laundering Act (PMLA), has carried out multiple raids in Jaipur, including at the residence of an IAS officer.
On June 19, the ED arrested Mahesh Mittal, a contractor linked to the case. Mittal, the proprietor of Shri Ganpati Tubewell Company, was arrested following further leads. Officials stated that Badaya and Mittal, along with others, were involved in bribing public servants to obtain illegal protection, secure tenders, get bills sanctioned, and cover up irregularities in their contracted works with the Public Health and Engineering Department (PHED).
The investigation revealed that Badaya and Mittal were also involved in purchasing stolen goods from Haryana for use in their tenders and contracts. The ED initiated the investigation based on a First Information Report registered by the Anti-Corruption Branch, Jaipur, under various sections of the Indian Penal Code, 1860, and the Prevention of Corruption Act, 1988.
The FIR indicated that Mittal secured JJM work tenders using fake work completion certificates issued by IRCON by bribing senior PHED officials.
The ED’s investigation found that both Badaya and Mittal were main accused and beneficiaries of the proceeds of crime. The laundered money was layered through various bank accounts held by the accused and their family members, and subsequently invested in immovable and movable properties.
The ED has conducted several searches in this case, resulting in the seizure of Rs 11.03 crore to date. Additionally, Peeyush Jain was arrested on February 29 and Padamchand Jain on June 13 in connection with the same matter.
