Majithia accumulated assets worth Rs 540 crore through drug-related money-laundering: Vigilance Bureau

More than three years after a drug smuggling case was registered by the then Congress government against former Akali minister Bikram Majithia, the Aam Aadmi Party government on Wednesday arrested him, alleging that he accumulated assets worth Rs 540 crore through drug-related money-laundering.

Advertisement

Though Majithia has faced drug smuggling allegations since drug lord Jagdish Bhola named him in 2014, it is the first time a state agency claimed to have uncovered evidence of drug money-laundering. He has previously been questioned by investigation teams from the Punjab Police and the Enforcement Directorate.

Majithia will be produced before a Mohali court on Thursday.

According to an official statement by the Punjab Vigilance Bureau, Majithia’s arrest follows the findings of a Special Investigation Team (SIT) probing an FIR dated December 12, 2021. The bureau said “substantial evidence has been uncovered indicating massive laundering of drug money” by him.

Shortly after the Vigilance Bureau team raided his house, Majithia released a video on X, alleging that the Bhagwant Mann government was trying to frame him after having failed to prove anything in the original drug case.

“Bhagwant Mann ji, understand this—no matter how many FIRs you register, I will not be afraid, nor can your government suppress my voice,” he said in the video. “I have always raised issues concerning Punjab and will continue to do so,” he added.

A Vigilance Bureau spokesperson said preliminary investigations revealed drug money-laundering exceeding Rs 540 crore through various means.

These include:

*Unaccounted cash amounting to Rs 161 crore deposited in bank accounts of companies controlled by Majithia

*Transfer of Rs 141 crore through suspected foreign entities

*Unexplained deposits of Rs 236 crore in company financial statements

*Acquisition of movable and immovable assets without a legitimate source of income

The spokesperson said the transactions under investigation suggest that the laundered money was funneled into Saraya Industries, allegedly facilitated by Majithia during his tenure as a public servant, MLA, and cabinet minister in various SAD-BJP governments.

The Vigilance Bureau said the assets registered in the name of Majithia and his wife, Majitha MLA Genieve Kaur, have “substantially increased” without a traceable source of lawful income.

Searches were conducted by the SIT and the Vigilance Bureau at three locations and among 22 individuals. The raids led to the seizure of over 30 mobile phones, five laptops, three iPads, two desktops, multiple diaries, property documents, and several financial records connected to Saraya Industries.