ED freezes ₹160 crore mutual funds in Dhanbad coal racket raids
Synopsis
In one of its largest strikes against Jharkhand's coal mafia, the ED has frozen ₹160 crore in mutual funds tied to trader L.B. Singh and seized ₹1.02 crore in cash across 31 locations in Dhanbad — with data on over 200 properties now in investigators' hands, signalling that formal attachments could follow.
Key Takeaways
The Enforcement Directorate raided 31 locations in and around Dhanbad, Jharkhand on Tuesday, 29 July .
Mutual fund investments of approximately ₹160 crore linked to coal trader L.B.
Singh were frozen under PMLA .
Unaccounted cash of ₹1.02 crore was seized during the search operations.
Data related to more than 200 immovable properties suspected to be proceeds of crime was recovered, along with digital devices and account books.
The ED had previously raided premises of Anil Goyal and L.B.
Singh in November 2025 in a related case.
The investigation stems from multiple Jharkhand Police FIRs covering illegal coal mining, smuggling, extortion, and levy collection.
The Enforcement Directorate (ED) has frozen mutual fund investments worth approximately ₹160 crore linked to Dhanbad coal businessman L.B. Singh and seized unaccounted cash of ₹1.02 crore following raids at 31 locations in and around Dhanbad, Jharkhand, according to an official ED statement issued on Wednesday, 29 July. The operation, conducted under the Prevention of Money Laundering Act (PMLA), marks one of the agency's largest crackdowns on illegal coal mining, smuggling, extortion, and levy collection in the region.
Scope of the Raids
The search operations, carried out on Tuesday, targeted premises associated with coal traders Anil Goyal, L.B. Singh, and Harendra Chauhan, along with their associates, relatives, and directors of linked companies. Several others — including Ganesh Yadav, Pappu Mandal, Rohit Yadav, and Madho Singh — also came under the agency's scanner during the operation.
What the ED Found
Beyond the frozen mutual funds and seized cash, investigators recovered a substantial volume of incriminating material. This included information and data related to more than 200 immovable properties suspected to have been acquired from proceeds of crime, multiple digital devices, and books of accounts of entities controlled by the accused persons. The scale of the asset trail points to a sophisticated layering operation designed to conceal the illicit origin of funds.
How the Money Was Allegedly Laundered
According to the ED, the accused allegedly generated large proceeds of crime through scheduled offences — illegal coal mining, smuggling of illegally mined coal, theft of coal, and extortion and levy collection on coal lifting in Dhanbad and adjoining districts. Multiple entities and individuals were reportedly used to layer these proceeds and present them as legitimate income. The funds were then allegedly reinvested in movable and immovable properties, including the mutual fund portfolio now frozen by the agency.
Background and Earlier Action
The ED's investigation was triggered by multiple First Information Reports (FIRs) registered by the Jharkhand Police against the accused, with charge sheets already filed in several cases. This is not the first time these individuals have faced scrutiny — in November 2025, the ED had conducted searches covering the premises of Anil Goyal, L.B. Singh, and related persons and entities in a related case. The current operation represents a significant escalation in both scale and the quantum of assets targeted.
What Happens Next
The ED has stated that further investigation is in progress. With over 200 properties now under scrutiny and a substantial digital evidence trail secured, formal attachment proceedings under PMLA are likely to follow. The case underscores the Centre's continued focus on dismantling coal mafia networks in Jharkhand, a state where illegal mining has long been flagged as a systemic law enforcement challenge.
Point of View
It is layered, market-invested wealth. The trail of 200-plus properties suggests the proceeds of crime have been circulating in the formal economy for years, largely undisturbed. The November 2025 raids covered the same names, which raises the question of why attachment proceedings did not move faster. With charge sheets already filed by the Jharkhand Police, the ED's delayed escalation will face scrutiny. The real test of this crackdown is not the headline asset freeze but whether prosecutions reach conclusion — a stage where PMLA cases in India have historically struggled.
NationPress
29 Jul 2026
Frequently Asked Questions
What did the ED seize in the Dhanbad coal trader raids?
The ED froze mutual fund investments worth approximately ₹160 crore linked to coal trader L.B. Singh and seized unaccounted cash of ₹1.02 crore. Investigators also recovered data on more than 200 immovable properties, digital devices, and books of accounts.
Who are the key accused in the Dhanbad coal money laundering case?
The primary targets are coal traders Anil Goyal, L.B. Singh, and Harendra Chauhan, along with their associates, relatives, and directors of linked companies. Others under the scanner include Ganesh Yadav, Pappu Mandal, Rohit Yadav, and Madho Singh.
Under which law were the Dhanbad raids conducted?
The searches were conducted under the Prevention of Money Laundering Act (PMLA). The ED's investigation was initiated on the basis of multiple FIRs registered by the Jharkhand Police for illegal coal mining, smuggling, extortion, and levy collection.
Has the ED acted against these individuals before?
Yes. In November 2025, the ED had conducted searches covering the premises of Anil Goyal, L.B. Singh, and related persons in a connected case. The latest operation is a significant escalation in scale and asset quantum.
What happens next in the ED's Dhanbad coal investigation?
The ED has stated that further investigation is ongoing. Given the volume of evidence secured — including data on over 200 properties — formal attachment proceedings under PMLA are expected to follow. Charge sheets have already been filed by the Jharkhand Police in several related cases.
