Karnataka: ED raids at 15 locations in illegal iron ore export case involving MLA Satish Sail

Congress MLA Satish Krishna Sail represents the Karwar constituency in the Uttar Kannada district. Although Sail is accused of exporting iron ore that was illegally mined the exchequer lost about Rs 38 crore as a result.

New Delhi: In an illegal iron ore export case the ED raids a Congress MLA and other individuals. Satish Krishna Sail a Karnataka Congress MLA and several other individuals were searched by the Enforcement Directorate (ED) on Wednesday.

The raids are related to an investigation into money laundering and the alleged illicit export of iron ore. The Prevention of Money Laundering Act (PMLA) reportedly led to raids on at least 15 locations in Mumbai, Goa and Karnataka. The amount could be hundreds of crores.

Congress MLA Satish Krishna Sail represents the Karwar constituency in the Uttar Kannada district. Although Sail is accused of exporting iron ore that was illegally mined the exchequer lost about Rs 38 crore as a result.

Value Of Exported Iron Ore

However the true value of the illegally exported iron ore is thought to be in the hundreds of crores. A probe into the matter was started by the Karnataka Lokayukta in 2010. It was found that approximately eight lakh tonnes of iron ore had been illegally transported from Bellary to Belekeri port.

In multiple cases involving the illicit export of iron ore from Belekeri port Sail and others were found guilty by a special court. In the case the Karnataka High Court had suspended the MLAs seven-year jail sentence last year.

ED Investigation

Based on previous cases from the mining and forest departments the raids are a component of the EDs investigation under the Prevention of Money Laundering Act (PMLA). Property records, financial transactions and connections to suspected co-conspirators in the illicit mining and export network are all being closely examined by the agency.

The Enforcement Directorate said that as part of a money laundering investigation against the Sahara group it searched nine locations in Uttar Pradesh, Rajasthan and Maharashtra on Tuesday. On August 11 the Kolkata zonal office of the ED searched suspects homes in Mumbai, Ghaziabad and Lucknow Uttar Pradesh and Ganganagar in accordance with the Prevention of Money Laundering Act (PMLA) 2002.

According to an ED statement Entities searched were related to various land and share transactions with entities of the Sahara group. . Based on three First Information Reports (FIRs) filed by police in Odisha Bihar and Rajasthan against Humara India Credit Cooperative Society Ltd (HICCSL) and others under Sections 420 and 120B of the Indian Penal Code 1860 the ED opened an investigation.