ED raids 7 locations in Jharkhand, Odisha in co-operative bank scam probe
Synopsis
The ED's Ranchi Zonal Office swept across seven premises in Jharkhand and Odisha on 18 September, targeting alleged proceeds of crime in the Jharkhand State Co-operative Bank fraud — a case where businessman Sanjay Kumar Dalmia is accused of engineering a large-scale scam at the bank's Seraikela branch in connivance with then-officials. It is the latest in a string of enforcement actions by the agency in the state.
Key Takeaways
The ED Ranchi Zonal Office raided 7 locations in Jharkhand and Odisha on 18 September 2026 .
Searches were conducted under Section 17 of PMLA in connection with the alleged Jharkhand State Co-operative Bank (JSCB) scam .
Businessman Sanjay Kumar Dalmia is the key accused, allegedly acting with then-officials of the bank's Seraikela branch .
Details of material seized during the searches were not immediately disclosed by the agency.
A separate ED probe into suspected money laundering linked to the RSS office petrol bomb attack in Ranchi ( 16 June 2026 ) is also ongoing, with earlier searches across four states .
The Enforcement Directorate's (ED) Ranchi Zonal Office conducted search and seizure operations at seven locations across Jharkhand and Odisha on 18 September 2026, as part of its money laundering investigation into the alleged Jharkhand State Co-operative Bank (JSCB) scam. The searches, carried out under Section 17 of the Prevention of Money Laundering Act (PMLA), targeted premises linked to suspected financial irregularities at the bank's Seraikela branch.
What the Investigation Covers
According to the ED, businessman Sanjay Kumar Dalmia allegedly orchestrated the fraud in connivance with then-officials of the Jharkhand State Co-operative Bank. The agency described the alleged scheme as a large-scale fraud that generated suspected proceeds of crime, which are now the subject of the money laundering probe.
The ED confirmed the action in an official statement: 'ED, Ranchi, is conducting search and seizure action u/s 17 of PMLA in the case of the Jharkhand State Co-operative Bank Scam at a total of 7 locations in Jharkhand and Odisha.' Details of material recovered during the searches were not immediately made available.
Part of a Broader Enforcement Push in Jharkhand
The latest raids are one of several active investigations being handled by the ED's Ranchi Zonal Office into alleged financial crimes and money laundering in the state. Notably, the agency has recently intensified its footprint in the region, reflecting a broader pattern of enforcement action targeting economic offences in Jharkhand.
The ED is empowered under the PMLA to conduct searches, seize relevant material, and pursue proceeds of crime across state boundaries — allowing Friday's operation to span two states simultaneously.
Separate RSS Office Attack Probe Also Ongoing
In a separate matter, the ED had earlier conducted searches at four locations in Delhi, Bihar, Jharkhand, and Karnataka in connection with its probe into alleged money laundering linked to the petrol bomb attack on the Rashtriya Swayamsevak Sangh (RSS) provincial headquarters in Ranchi's Nivaranpur area on the night of 16 June 2026.
That investigation is connected to a case registered by the National Investigation Agency (NIA) under case number RC-01/2026/NIA/RNC. During those searches, ED teams examined documents, digital devices, and other materials relating to allegedly suspicious financial transactions, and were probing whether illegal funding or money-laundering channels were used in planning or executing the attack.
What Happens Next
With searches now completed across seven premises in the JSCB case, the ED is expected to analyse seized documents and digital evidence before determining whether to make arrests or attach properties as proceeds of crime. The investigation into the Seraikela branch fraud is ongoing, and further developments are anticipated as the agency processes the material recovered.
Point of View
Running concurrent PMLA investigations ranging from a co-operative bank fraud to suspected financing of a political attack on the RSS. What the enforcement intensity does not yet reveal is whether these probes are translating into attachments and prosecutable cases, or whether search operations are outpacing convictions — a perennial critique of PMLA enforcement. The JSCB case, centring on a regional bank's branch-level fraud, also raises questions about supervisory failures within the cooperative banking ecosystem that go beyond one alleged fraudster.
NationPress
18 Sept 2026
Frequently Asked Questions
What is the Jharkhand State Co-operative Bank scam?
The Jharkhand State Co-operative Bank (JSCB) scam refers to alleged large-scale fraud at the bank's Seraikela branch, in which businessman Sanjay Kumar Dalmia is accused of perpetrating financial irregularities in connivance with then-bank officials. The ED is investigating suspected money laundering arising from the fraud under the Prevention of Money Laundering Act (PMLA).
Where did the ED conduct searches on 18 September 2026?
The ED's Ranchi Zonal Office searched seven locations spread across Jharkhand and Odisha on 18 September 2026. The premises are linked to the ongoing money laundering investigation into the JSCB scam.
Who is the main accused in the JSCB scam case?
Businessman Sanjay Kumar Dalmia is identified by the ED as the key accused. He allegedly carried out the fraud at the JSCB's Seraikela branch in connivance with then-officials of the bank.
What is the separate RSS office attack case the ED is also probing?
The ED is separately investigating suspected money laundering linked to a petrol bomb attack on the RSS provincial headquarters in Ranchi's Nivaranpur area on the night of 16 June 2026. It has already searched four locations across Delhi, Bihar, Jharkhand, and Karnataka in connection with the NIA-registered case (RC-01/2026/NIA/RNC).
What happens after an ED search under PMLA?
Following searches under Section 17 of PMLA, the ED analyses seized documents and digital evidence to identify proceeds of crime. This can lead to the attachment of properties, arrest of accused persons, and eventually filing of a prosecution complaint before a special PMLA court.
