The Enforcement Directorate (ED) has arrested Ranu Sahu, an IAS officer from the Chhattisgarh cadre, in connection with the District Mineral Fund (DMF) scam. This arrest occurred just two days after another officer, Maya Varier, was taken into custody for the same case. A special court has granted the ED custody of both officers until October 22, as they are considered key accused in the scam.
The investigation began following an FIR filed by the Chhattisgarh Police, which accused Sahu of misappropriating government funds in collusion with DMF contractors and state officials. The DMF is designed to benefit those impacted by mining activities in the state.
From May 2021 to June 2022, Sahu served as the district collector in Korba, while Varier held the position of Assistant Commissioner in the Tribal Development Department there. The ED reported that during their tenure, a systematic collection of illegal commissions from vendors and contractors was established.
The ED’s investigation uncovered that contractors were allegedly paying between 25% to 40% in illegal commissions on contract values. The cash for these kickbacks was reportedly generated through accommodation entries by the vendors and contractors.
Further analysis revealed that the DMF fund allocated to Korba district exceeded Rs1,000 crore since its inception, with the total commission amounting to hundreds of crores.
Previously, the ED’s Raipur unit conducted searches related to government officials, vendors, and contractors associated with the DMF scam, leading to the seizure of incriminating evidence, including documents, digital data, cash, and jewellery valued at Rs2.32 crore
