The Enforcement Directorate conducted raids at multiple sites across West Bengal on Saturday as part of a broadening money laundering probe into a suspected ration distribution racketeering scheme, officials said.

The federal agency targeted approximately nine locations linked to suppliers and exporters in Kolkata, Burdwan, and Habra. Among the sites under scrutiny were the premises of Niranjan Chandra Saha. The operations were executed under the legal framework of the Prevention of Money Laundering Act.

This latest round of enforcement comes as West Bengal navigates a high-stakes election cycle. The state concluded its first phase of assembly polling on April 23 and is preparing for the second phase of voting scheduled for April 29.

Origins of the Investigation

The money laundering case is rooted in a criminal complaint filed in October 2020 by the Basirhat police. That FIR was initiated following a report from a deputy commissioner of customs at the Ghojadanga land customs station, who alleged a massive diversion of wheat designated for the Public Distribution System (PDS).

According to the Enforcement Directorate, the grain—intended for government welfare programs—was acquired at minimal prices via unauthorised channels. This was allegedly achieved through a collaborative network involving suppliers, licensed distributors, retailers, and various intermediaries.

Method of Concealment

The agency detailed a systematic process through which the suspects allegedly obscured the origin of the diverted goods. Investigators claim that large volumes of wheat were removed from the official supply chain and consolidated at several locations.

To hide the identifying characteristics of the government-held stock, the accused reportedly repurposed the original gunny bags, which bore the official markings of the Food Corporation of India (FCI) and the state government. By reversing or replacing these bags before refilling them, the parties involved allegedly passed off the subsidised wheat as legitimate private inventory intended for the open market or international export.

The investigation has already resulted in the high-profile arrest of Jyoti Priya Mallick, the former West Bengal food minister, along with several other associates suspected of involvement in the multi-crore fraud.

With inputs from PTI