₹3.3cr cash and documents recovered from Karnataka minister's premises
What's the story
The Enforcement Directorate (ED) has recovered ₹3.3 crore in unaccounted Indian currency and documents indicating alleged bribery from the premises of Karnataka Public Works Department Minister Satish Jarkiholi and his family members. The searches were conducted at 21 locations across Bengaluru, Belagavi, Gokak, and Kolkata on September 9-10 under the Foreign Exchange Management Act (FEMA). The ED is probing alleged undisclosed overseas investments linked to Jarkiholi's family.
Seized assets
ED recovered digital devices, documents pointing to irregularities
The ED also seized foreign currency worth around ₹15 lakh, including US dollars and euros.
Digital devices and documents allegedly pointing to irregularities in the Public Works Department (PWD) were also recovered.
The premises searched included those linked to Jarkiholi's daughter and Chikkodi MP Priyanka Jarkiholi, son Rahul Jarkiholi, brother-in-law YD Manjunath and associates Malagouda Patil, Raju Daragshetti, Vittal Parasannavar and Dr. Girish Sonwalkar.
Foreign investments
Agency probing Jarkiholi's alleged stakes in foreign companies
The ED claims that Jarkiholi's family members have stakes in foreign companies such as Eldorado Mining Resources in the Democratic Republic of Congo and Nava Aurum Mining Ltd in Zambia.
The agency alleged that Jarkiholi himself held a nearly 40% stake in a gold-mining firm, Magnitude Star SARL, based in Congo.
Documents related to other foreign firms with mining interests in Africa were also recovered during the searches.
Additional probe
Probe into firm that allegedly paid bribe for PWD tender
The ED is also probing Bharat Vanijya Eastern Private Ltd. The agency alleged that the company paid a huge bribe to get a PWD tender and is now looking into whether the money was used to buy assets abroad.
Incriminating material was also recovered from accounts of an entity allegedly controlled by YD Manjunath during these searches.
Political allegations
ED targeting opposition leaders, says Jarkiholi
Reacting to the raids, Jarkiholi accused the ED of targeting opposition leaders, especially from Congress and regional parties.
He said central agencies are letting go of big fish while coming after small fish.
"I may have made some minor mistakes... But then, they seem to be targeting only Congress and Opposition parties like regional parties," he said.
Clarification
No investments made yet, says Jarkiholi
Jarkiholi further clarified that the ED's action was a "search and not a raid." He said he received notice over alleged FEMA violations related to proposed overseas investments.
He maintained that no investments had been made yet and permissions were only sought from agencies like the Reserve Bank of India.
Cash claim
No ED officer asked me to join BJP: Jarkiholi
Jarkiholi said he and his family members cooperated with ED officials during the search.
He said no harassment or political pressure was faced during the operation.
The minister also clarified that no ED officer asked him to join the Bharatiya Janata Party (BJP) or offered to drop the investigation in return.
He said his family would seek legal recourse for the release of ₹2 crore cash seized by ED officials during these searches.