ED raids 9 locations in Chhattisgarh over Bharatmala, DMF scams
Synopsis
The ED swept nine locations across Chhattisgarh in a single day, targeting two distinct but potentially linked scams — inflated Bharatmala highway compensation claims and the diversion of DMF funds meant for mining-affected tribal communities. With Dhamtari, Durg, and coal-hub Korba all in the crosshairs, investigators believe the beneficiary networks may overlap, pointing to a deeper systemic rot.
Key Takeaways
The Enforcement Directorate raided nine locations across Chhattisgarh on 16 June in a coordinated operation.
Searches targeted alleged irregularities in the Bharatmala Project land compensation scheme and DMF fund misappropriation.
Key locations include Dhamtari (Bharatmala accused), Durg (DMF probe), and Korba (coal-mining hub).
The ED is seizing documents, digital records, and financial data ; officials suspect overlapping beneficiary networks in both cases.
No arrests have been reported so far; sources say further action is likely based on recovered evidence.
The Enforcement Directorate (ED) on Tuesday, 16 June conducted simultaneous searches at nine locations across Chhattisgarh, targeting alleged irregularities in the Bharatmala Project land compensation scam and the misappropriation of District Mineral Foundation (DMF) funds meant for tribal welfare, according to sources. The coordinated, multi-city operation is among the most sweeping federal financial probes in the state in recent months.
Key Developments
The raids, described by sources as a 'rapid-fire' operation, spanned multiple districts. ED teams specifically targeted premises in Dhamtari district linked to an accused allegedly involved in inflating or fabricating land compensation claims under the Bharatmala highway project — a flagship national highway development programme. Investigators are probing how fraudulent claims were processed, causing what officials believe to be significant losses to the public exchequer.
Searches were also carried out in Durg in connection with the DMF scam, with investigators examining financial trails and seizing documentary evidence related to the alleged siphoning of funds collected for the development of mining-affected communities.
Korba in the Crosshairs
An ED team reached Korba, a major coal-mining hub, as part of the multi-city sweep. The agency's presence in Korba has triggered speculation, according to sources, about possible links between DMF fund diversion and influential local players in the mineral-rich district. Officials reportedly believe the two cases — Bharatmala compensation fraud and DMF misuse — may share overlapping networks of beneficiaries.
What Investigators Are Looking For
The ED is gathering documents, digital records, and financial transaction data related to both cases. The agency is examining the roles of officials, contractors, and middlemen allegedly involved in the schemes. As of the time of reporting, no arrests have been made, though sources indicate further action is likely depending on evidence recovered during the searches.
Background and Broader Context
The Bharatmala Project has faced controversies over land acquisition and compensation irregularities across several states. DMF funds in Chhattisgarh have repeatedly come under scrutiny for poor utilisation and alleged embezzlement — this is not the first time the federal agency has trained its sights on these funds in the state. The latest operation has sent ripples through Chhattisgarh's political and bureaucratic circles. Tight security has been maintained at all raided premises, and further disclosures are expected as the investigation progresses.
Point of View
Making this probe a test of whether federal enforcement can break a cycle of impunity. The Bharatmala angle adds a national dimension: if inflated compensation claims were processed systematically, the liability extends well beyond one state. The absence of arrests on day one is standard ED procedure, but the 'further action likely' signal from sources indicates the agency believes it has recoverable evidence — the real measure will be whether prosecutions follow.
NationPress
1 Aug 2026
Frequently Asked Questions
Why did the ED raid nine locations in Chhattisgarh?
The Enforcement Directorate conducted the raids on 16 June to investigate alleged irregularities in Bharatmala Project land compensation claims and the misappropriation of District Mineral Foundation funds meant for tribal and mining-affected communities. Officials believe the two cases may share overlapping networks of beneficiaries.
What is the Bharatmala Project compensation scam?
The Bharatmala Project is a flagship national highway development initiative under which land is acquired from private owners. Investigators are probing allegations that inflated or fraudulent compensation claims were processed under the project in Chhattisgarh, causing significant losses to the public exchequer.
What is the DMF scam in Chhattisgarh?
The District Mineral Foundation is a statutory fund fed by contributions from mining companies, intended for the welfare and development of communities in mining-affected areas. The alleged scam involves the siphoning and misuse of these funds, with searches focused on Durg and Korba districts.
Have any arrests been made in the ED raids?
No arrests have been reported as of the time of the raids on 16 June. However, sources indicate that further action — including possible arrests — is likely depending on the documents, digital records, and financial data recovered during the searches.
Which districts in Chhattisgarh were covered in the ED operation?
The raids spanned multiple districts, with confirmed searches in Dhamtari, Durg, and Korba. Dhamtari is linked to the Bharatmala compensation accused, Durg to the DMF probe, and Korba — a major coal-mining hub — is under scrutiny for possible connections to DMF fund diversion.
