Ex-Chhattisgarh CM’s Son Held In Liquor Scam Case; ED Cites ‘Active Involvement’

The Enforcement Directorate has arrested Chaitanya Baghel, son of senior Congress leader and former Chhattisgarh Chief Minister Bhupesh Baghel, in connection with its ongoing money laundering investigation linked to the alleged multi-crore liquor scam in the state.

According to the ED’s remand application submitted in a special PMLA court, Chaitanya Baghel played a central role in managing and laundering over ₹1,000 crore believed to be the proceeds of the scam, which allegedly ran between 2019 and 2022 under the Congress-led government in Chhattisgarh.

ED Alleges Direct Involvement In Laundering Proceeds Of Crime

The agency claims Chaitanya was directly involved in acquiring, handling, concealing, and using illicit funds to project them as legitimate earnings. “Chaitanya has not only been in possession of the proceeds of crime but also actively participated in layering and integrating them,” the ED stated in its plea.

One of the key findings includes a ₹5 crore transaction from M/s Saheli Jewellers to two firms owned by Chaitanya. According to the agency, this payment was made against cash allegedly sourced from the liquor scam, with ₹4.5 crore still outstanding.

“No interest was paid on the amount, which strongly indicates that the transaction was merely a method to introduce unaccounted cash into the system,” the ED stated.

Statements & Digital Evidence Point To Widespread Money Handling

In statements recorded under Section 50 of the PMLA, Laxmi Narayan Bansal, alias Pappu, admitted receiving around ₹136 crore in just three months from individuals linked to the scam. He further revealed that he, along with Chaitanya, was involved in managing over ₹1,000 crore in cash allegedly generated from the illicit liquor trade.

Bansal claimed the funds were collected from liquor businessman Anwar Dhebar via Dipen Chawda and distributed to key individuals, including Congress leader Ram Gopal Agarwal and KK Srivastava, under Chaitanya’s direction.

Illicit Cash Allegedly Used In Real Estate Project

The ED has also accused Chaitanya of funneling illegal cash into his real estate venture, the Vitthal Green project. The agency says construction expenses were under-reported in official records. While the actual project cost was estimated between ₹13–15 crore, only ₹7.14 crore was shown in the books. Evidence suggests that at least ₹4.20 crore was paid in cash to M/s Shivam Construction, beyond the ₹2.62 crore reflected in digital accounts.

A witness involved in the project confirmed that the real expenses were much higher than declared. “Chaitanya concealed the true origin of the proceeds of crime by assimilating it in his project, so as to show the same as untainted,” the ED noted.

Non-Cooperation & Legal Action

The ED also informed the court that Chaitanya was given a chance to explain the transactions but failed to cooperate or disclose the full extent of the financial dealings.

Based on these findings, the ED has charged Chaitanya under Sections 3 and 4 of the Prevention of Money Laundering Act (PMLA), 2002.

The court of the Special Judge (PMLA) granted the ED custody of Chaitanya Baghel until July 22, following a five-day remand request from ED counsel Saurabh Kumar Pande.

So far, assets worth ₹205 crore have been provisionally attached by the ED as part of the wider probe into the scam.

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