PDS SCAM: THREE WHO SWINDLED ₹177 CR ARRESTED

MUMBAI: The Enforcement Directorate (ED) has arrested three brothers from Nagpur for their alleged involvement in diverting food grains to be distributed to the poor through the public distribution system (PDS), said the agency. The agency, which is looking into the financial aspect of the ration scam, claimed that the trio, arrested this Wednesday, generated about ₹177 crore through their illegal activities.

ED has charged Sampat Namdeo Ghorpade, Arun Namdeo Ghorpade and Vishwas Namdeo Ghorpade under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. A special court has remanded them to ED’S custody till February 26. The ED probe stems from a first information report registered by Nashik Police in 2015 against the three for forgery, falsification of documents and criminal conspiracy.

The case involved purported misappropriation of foodgrains in Sinnar taluka where more than 250 sacks of rice from government godowns were sold directly to rice mills in 2015.

Further investigation revealed irregularities on a much larger scale and a full-fledged, organised syndicate behind it, prompting the state government to invoke the stringent Maharashtra Control of Organised Crime Act (MCOCA) which is generally used against organised crime syndicates.

It was the first such instance that a charge sheet was filed against the ration mafia in the state under MCOCA. The brothers allegedly bought reserved foodgrains from godowns of the Food Corporation of India and distributed them to other companies floated by the other accused. “The three accused had indulged in unlawful activities as individuals and jointly as a gang. The three and their syndicate generated the proceeds of crime of around ₹177 crore,” said an ED officer.

THE ACCUSED GENERATED AROUND ₹177CR THROUGH ILLEGAL ACTIVITIES