ED freezes ₹2.93 crore, seizes ₹23.50 lakh in MP road scam raids
Synopsis
Government road contractors in Madhya Pradesh allegedly forged invoices from IOCL, BPCL, and HPCL worth ₹55.60 crore to siphon public money meant for bitumen road work — with MPRRDA officials reportedly complicit. The ED's Bhopal raids have now frozen ₹2.93 crore and seized ₹23.50 lakh in cash, marking a significant escalation in a probe that implicates both private contractors and public servants.
Key Takeaways
The ED, Bhopal Zonal Office conducted search operations on 19 June 2025 in Rewa and Jabalpur , Madhya Pradesh.
Bank deposits and fixed deposits worth ₹2.93 crore were frozen; ₹23.50 lakh in cash was seized.
Contractors allegedly submitted forged IOCL, BPCL, and HPCL invoices worth ₹55.60 crore to fraudulently claim government payments for road bitumen work.
MPRRDA officials are alleged to have colluded with contractors, enabling the fraud against the public exchequer.
In a separate case, the ED filed a Supplementary Prosecution Complaint on 17 June 2025 against Sunil Kumar Tripathi and others over adulterated dairy products; properties worth ₹23.59 crore were earlier attached.
Kishan Modi (MD, JGFPL) and Sunil Kumar Tripathi (former CEO, JGFPL) remain under judicial custody.
The Directorate of Enforcement (ED), Bhopal Zonal Office, on 19 June 2025 froze bank deposits and fixed deposits worth ₹2.93 crore and seized ₹23.50 lakh in cash during search operations across premises in Rewa and Jabalpur districts of Madhya Pradesh, in connection with a money laundering probe linked to a road construction scam involving fake bitumen invoices. The crackdown targets contractors who allegedly defrauded the government exchequer of ₹55.60 crore by submitting forged fuel-company bills.
What the Raids Uncovered
During the searches, ED officials recovered incriminating records including property documents and digital devices, in addition to the ₹23.50 lakh cash. Bank balances and fixed deposits totalling ₹2.93 crore were frozen. The agency said the seized materials are expected to be central to establishing the money trail in the case.
How the Fraud Was Allegedly Carried Out
According to the ED, contractors allegedly acted in conspiracy with public servants and officials of the Madhya Pradesh Rural Road Development Authority (MPRRDA) Project Implementation Units. They purportedly obtained government payments for asphalt and bitumen road work by submitting forged and fabricated invoices falsely attributed to Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL). The total value of allegedly forged invoices stands at ₹55.60 crore, causing a corresponding loss to the public exchequer, the ED stated.
Legal Basis for the Investigation
The ED initiated its investigation under the Prevention of Money Laundering Act (PMLA), 2002, on the basis of multiple First Information Reports (FIRs) registered by the Economic Offence Wing (EOW) of Madhya Pradesh Police in Rewa and Jabalpur under provisions of the Indian Penal Code (IPC), 1860 and the Prevention of Corruption Act, 1988. The involvement of public servants alongside private contractors points to a systemic collusion that investigators say went beyond isolated fraud.
Separate Action: Adulterated Dairy Products Case
In a related but separate development, the ED's Bhopal Zonal Office on 17 June 2025 filed a Supplementary Prosecution Complaint under PMLA, 2002 before the Special Court (PMLA), Bhopal against Sunil Kumar Tripathi and others in a case involving the alleged manufacture of adulterated dairy products. The accused allegedly substituted milk fat with palm oil and other harmful chemicals. The Special Court has issued notices to the accused for appearance.
The ED had earlier provisionally attached movable and immovable properties valued at ₹23.59 crore in that case. Kishan Modi, Managing Director of Jayshri Gayatri Food Products Pvt Ltd (JGFPL), and Sunil Kumar Tripathi, former CEO of the company, have both been arrested under PMLA provisions and are currently under judicial custody.
What Comes Next
With property documents and digital devices now in the ED's possession, investigators are expected to widen the probe to identify additional beneficiaries within the MPRRDA supply chain. The Special Court proceedings in the dairy adulteration case are also set to advance as notices reach the accused. Both cases underline the ED's stepped-up enforcement activity out of its Bhopal zone in recent weeks.
Point of View
Requiring insider access to pass forged IOCL, BPCL, and HPCL bills through official channels. The ₹55.60 crore in allegedly forged invoices dwarfs the assets frozen so far, meaning the bulk of the money trail remains to be traced. That the ED is simultaneously pursuing a dairy adulteration case from the same Bhopal zone points to a broader pattern of public-private fraud in Madhya Pradesh that enforcement agencies are now racing to untangle. The real accountability test will be whether the public servants named in the MPRRDA collusion face prosecution alongside the contractors.
NationPress
21 Jun 2026
Frequently Asked Questions
What is the Madhya Pradesh road construction scam that the ED is investigating?
It is a money laundering case in which contractors allegedly submitted forged invoices — falsely attributed to IOCL, BPCL, and HPCL — worth ₹55.60 crore to fraudulently obtain government payments for bitumen road work under MPRRDA projects in Rewa and Jabalpur districts. The ED initiated its probe under PMLA, 2002, on the basis of FIRs filed by the Madhya Pradesh Police Economic Offence Wing.
How much money has the ED frozen or seized in the road scam raids?
The ED froze bank deposits and fixed deposits totalling ₹2.93 crore and seized ₹23.50 lakh in cash during search operations conducted on 19 June 2025 across premises in Rewa and Jabalpur. Property documents and digital devices were also seized as incriminating evidence.
Who is accused in the road construction fraud and what role did government officials play?
According to the ED, private road contractors allegedly acted in conspiracy with public servants and officials of the Madhya Pradesh Rural Road Development Authority (MPRRDA) Project Implementation Units to fraudulently obtain government payments. The precise identities of the accused officials have not been publicly named by the agency at this stage.
What is the separate adulterated dairy products case mentioned by the ED?
It is a PMLA case against Sunil Kumar Tripathi and others connected to Jayshri Gayatri Food Products Pvt Ltd (JGFPL), who allegedly substituted milk fat with palm oil and harmful chemicals. The ED filed a Supplementary Prosecution Complaint on 17 June 2025 before the Special Court (PMLA), Bhopal; properties worth ₹23.59 crore were earlier attached, and both Kishan Modi (MD) and Sunil Kumar Tripathi (former CEO) are under judicial custody.
What happens next in the ED's road scam investigation?
With digital devices and property documents now seized, the ED is expected to widen its probe to identify further beneficiaries within the MPRRDA supply chain. The Special Court proceedings in the dairy adulteration case are also set to proceed as notices are served on the accused.
