The Enforcement Directorate has taken into custody Amit Katyal alleged associate of RJD chief Lalu Prasad and his son Tejashwi Yadav, in connection with a money laundering investigation related to suspected land-for-jobs scam. Official sources reported his arrest on Saturday after he had been evading the agency’s summons for questioning for approximately two months.
Arrest of Amit Katyal in Money Laundering Case after Two Months
Katyal’s detention occurred on Friday, and he was arrested following the interrogation. The Enforcement Directorate is expected to present him before a local court, seeking his custody for further questioning. Sources revealed that Katyal had been avoiding the agency’s summons for about two months, and the Delhi High Court recently rejected his plea to dismiss the ED summons in this case.
In March, the federal agency had conducted raids on Katyal’s premises, along with those of Lalu Prasad, Bihar Deputy Chief Minister Tejashwi Yadav, and others. Katyal, identified as a “close associate” of RJD supremo Lalu Prasad and a former director of A K Infosystems Private Limited, is now under the ED’s scrutiny.
Allegations of Land-for-Jobs Scheme During Lalu Prasad’s Tenure as Railway Minister
The alleged scam dates back to period when Lalu Prasad was the railway minister in UPA-1 government. It is claimed that between 2004 and 2009, individuals were appointed to Group “D” positions in various Indian Railways zones. In return, these appointees allegedly transferred their land to the family members of the then railway minister and A K Infosystems Private Limited.
The ED’s case filed under criminal sections of the Prevention of Money Laundering Act (PMLA), originated from complaint lodged by the Central Bureau of Investigation (CBI). According to CBI no public notice or advertisement was issued for these appointments.
Residents of Patna were supposedly appointed as substitutes in different railway zones, and, in exchange, they or their immediate family members purportedly sold land to Prasad’s family members at significantly reduced rates, well below market prices