The Enforcement Directorate (ED) on Saturday conducted fresh raids at multiple locations across poll-bound West Bengal as part of its ongoing money laundering probe into the alleged Public Distribution System (PDS) scam, officials said.
Search operations were underway at around nine premises linked to suppliers and exporters in Kolkata, Burdwan and Habra, including that of Niranjan Chandra Saha, they said.
The action is being carried out under the provisions of the Prevention of Money Laundering Act (PMLA). The central agency had earlier also conducted searches in connection with the case.
The raids come ahead of the second phase of the West Bengal Assembly elections scheduled for April 29. The first phase of polling was held on April 23.
The money laundering case originates from an FIR lodged by Basirhat police in October 2020 on the complaint of a deputy commissioner of customs at the land customs station in Ghojadanga, alleging large-scale diversion of wheat meant for welfare schemes under the Public Distribution System.
According to investigators, the wheat was procured at low prices through unauthorised channels in collusion with suppliers, licensed distributors, dealers and middlemen. Large quantities were allegedly diverted from the supply chain and stockpiled at multiple locations.
To conceal its origin, the accused removed or reversed original gunny bags carrying Food Corporation of India (FCI) and West Bengal government markings before refilling them, allegedly to pass off the PDS wheat as legitimate stock for open market sale or export.
The ED has so far arrested former West Bengal food minister Jyoti Priya Mallick and several others in connection with the case.