Former MLA Surjakhera, associate sent to ED custody in Rs 170-cr scam

In a major development in the Rs 170-crore money laundering case linked to Haryana Shahari Vikas Pradhikaran (HSVP), a Special PMLA Court in Panchkula on Tuesday remanded former MLA and ex-Account Assistant Ram Niwas Surjakhera in five days of Enforcement Directorate (ED) custody.

Advertisement

Key allegations

Total misappropriated funds: Rs 170 crore

Cash withdrawn via conduits: Rs 100 crore +

Arrests made: Ram Niwas Surjakhera, Sunil Bansal

Properties attached so far: Rs 21 crore

Modus operandi: Fake accounts, bogus settlements, cash withdrawals

Ram Niwas was arrested on Monday, June 9, at 9 pm by the ED’s Chandigarh Zonal Office-I, along with Sunil Kumar Bansal, the former Senior Accounts Officer of HSVP. Both officials are accused of orchestrating a “deep-rooted financial conspiracy” during their tenure in the state’s urban development body (formerly HUDA).

The court granted ED a five-day custodial remand, shorter than the 14-day period initially sought. Advocate SPS Parmar, representing Ram Niwas, opposed the plea and argued, “The arrest is illegal and unjustified.” However, the court sided with the ED’s contention that custodial interrogation was “essential to trace the money trail, confront the accused with evidence and prevent tampering with official documents.”

According to the ED’s remand application, over Rs 100 crore was allegedly withdrawn in cash and routed through third-party bank accounts. These accounts were often opened under the guise of “compensation settlements,” with unsuspecting individuals lured into sharing personal banking details. The ED alleges that Ram Niwas directly collected cash from such intermediaries and routed illegal proceeds to accounts held by himself and family members.

The case stems from an FIR registered on March 7, 2023, by the Sector-7 Police Station, Panchkula. The complaint, filed by Chaman Lal, Chief Accounts Officer and DDO at the HSVP headquarters, alleged that between 2015 and 2019, a fraudulent bank account was used to conduct Rs 70 crore worth of suspicious debit transactions. Crucially, this account was absent from HSVP’s IT and cash branch records, raising red flags about internal complicity.

The ED later registered an Enforcement Case Information Report (ECIR) on October 26, 2023, and launched a full-scale investigation under the Prevention of Money Laundering Act (PMLA), 2002.

So far, three Provisional Attachment Orders worth approximately Rs 21 crore have been issued, and the attached properties have been confirmed by the Adjudicating Authority in New Delhi.

Owing to procedural delays at Ambala Jail, both accused spent the night at the ED’s Chandigarh office post-arrest. Further arrests and property seizures are expected as the investigation progresses.