Pramesh S Jain
The Enforcement Directorate (ED) has conducted searches at 21 premises linked to Karnataka Public Works Minister Satish Jarkiholi and his close associates in Bengaluru,Belagavi,Gokak and Kolkata as part of a probe into alleged undisclosed overseas investments, cross-border business links and financial irregularities.
The searches were conducted on September 9 and 10 under the provisions of the Foreign Exchange Management Act (FEMA).
The operation covered properties linked to Jarkiholi,his daughter and Chikkodi MP Priyanka Jarkiholi, son Rahul Jarkiholi and brother-in-law YD Manjunath.
Premises linked to several of his close associates, including OSD and personal assistant Malagouda Patil, Raju Daragshetti,Vittal Parasannavar and Dr Girish Sonwalkar, were also searched.
The ED also searched the office and residential premises of officials and owners of private company Bharat Vanijya Eastern Private Ltd (BVEPL), which allegedly paid a huge bribe for securing a PWD tender.
The agency is probing whether the alleged bribe money was subsequently used for acquiring assets abroad.
According to the ED,its searches revealed that Priyanka Jarkiholi, Rahul Jarkiholi and Mahadevi Manjunath,the sister of Satish Jarkiholi and wife of YD Manjunath, had acquired stakes in multiple foreign entities,including Eldorado Mining Resources in Congo and Nava Aurum Mining Ltd in Zambia.
The agency further alleged that Satish Jarkiholi had acquired nearly 40 per cent stake in Magnitude Star SARL, a gold-mining company in Congo.
Documents relating to several other foreign entities holding mining assets in Africa were also recovered and seized.
The searches,which included Jarkiholi’s residences in Gokak and Bengaluru’s Dollars Colony and his office-cum-residence on Crescent Road,resulted in the seizure of unaccounted Indian currency worth Rs 3.3 crore and foreign currencies,including US dollars and euros, worth around Rs 15 lakh.
The ED said it also found evidence of large cash investments and expenses in an entity in Congo through unauthorised channels.
Investigators also recovered digital devices and documents allegedly indicating irregularities in the PWD department and the collection of bribes from contractors, including BVEPL.
The agency said incriminating material was found in the possession and accounts of various influential persons, including an entity allegedly controlled and managed by YD Manjunath.
Further investigation is underway.
