ED Conducts Search Operation in Municipality Recruitment Scam, West Bengal.

Headnote:

The Enforcement Directorate (ED) conducted extensive search operations in and around Kolkata in connection with the Municipality Recruitment Scam in West Bengal. The searches exposed a large-scale money laundering network in which funds obtained through corrupt recruitment practices in various municipal bodies were laundered via shell companies under the guise of service contracts. Cash worth approximately ₹3 crore and incriminating digital and documentary evidence were seized. The operation forms part of a broader investigation into the misuse of official positions by public servants and private contractors to manipulate recruitment results for monetary gain.

Background:

1. The ED, Kolkata Zonal Office, conducted searches at seven premises between 28–29 October 2025, covering the offices and residences of individuals associated with the Municipality Recruitment Scam.
2. The searched entities included Radiant Enterprise Pvt. Ltd., Garodia Securities Ltd., and Jeet Construction and Consultants, along with residences of their promoters/directors.
3. Cash of ₹3 crore, property papers, and digital devices were seized during the raids.
4. The investigation revealed that illegally obtained funds were laundered through these entities as payments for bogus services.
5. Earlier, on 10 October 2025, ED had searched 13 premises, including the office of Sujit Bose, MLA and Minister of Fire and Emergency Services, seizing ₹45 lakh and other incriminating materials.
6. The probe was initiated on the basis of an FIR registered by the CBI following directions from the Calcutta High Court in the matter of Soumen Nandy v. State of West Bengal & Ors. (WPA 9979/2022 with CAN 1 & 2 of 2023).

ED’s Findings:

1. The scam involved manipulation of recruitment for various posts in municipalities across West Bengal — Kanchrapara, New Barrackpore, Kamarhati, Titagarh, Baranagar, Halisahar, South Dum Dum (North), and Dum Dum.
2. The recruitment included Mazdoors, Sweepers, Clerks, Peons, Ambulance Attendants, Pump Operators, Helpers, Sanitary Assistants, and Drivers, among others.
3. Contracts for examination-related services, such as printing and evaluation of OMR sheets, were awarded to ABS Infozon Pvt. Ltd., owned by Ayan Sil.
4. Ayan Sil and other high-ranking officials abused their positions to manipulate exam results, facilitating the illegal appointments of unqualified candidates in exchange for money.
5. The laundered funds were routed through a network of companies using fictitious invoices and service contracts to disguise their criminal origins.
6. ED has already filed a Prosecution Complaint under the Prevention of Money Laundering Act (PMLA) before the Special Court (PMLA), Kolkata, against Ayan Sil and others.

Legal Provisions Discussed:

1. Sections 3 & 4, Prevention of Money Laundering Act, 2002 (PMLA) – Offence and punishment for money laundering.
2. Sections 120B, 420, 467, 468 & 471, Indian Penal Code, 1860 – Criminal conspiracy, cheating, and forgery.
3. Article 226, Constitution of India – Supervisory jurisdiction of the High Court invoked in related proceedings (Soumen Nandy v. State of West Bengal).

Outcome and Status:

The searches resulted in the seizure of ₹3 crore, several digital devices, and documents evidencing layering and integration of tainted funds. The ED confirmed that further investigation into the money trail and beneficiaries is underway. The operation underscores the agency’s continuing efforts to uncover systemic corruption in public recruitment and the abuse of political and administrative influence for unlawful enrichment.

Citation: ED Press Release No. 30/2025

Case: Directorate of Enforcement, Kolkata Zonal Office – Municipality Recruitment Scam Investigation

Authority: Directorate of Enforcement (ED), Ministry of Finance, Government of India

Date of Release: 30 October 2025

Relevant Statute: Prevention of Money Laundering Act, 2002 (PMLA)