Patna: The Enforcement Directorate (ED) on Friday conducted search operations at 18 locations connected to Rashtriya Janata Dal (RJD) leader and former Bihar minister Alok Kumar Mehta in a multi-crore bank fraud case.
The raids are being conducted across Bihar, West Bengal, Uttar Pradesh, and Delhi in connection with an Rs 85 crore bank loan fraud involving the Vaishali Shahri Vikas Co-operative Bank Ltd.
According to ED officers, the fraud was orchestrated through approximately 400 fraudulent loan accounts. “Funds were disbursed based on fabricated documents, including forged warehouse and Life Insurance Corporation (LIC) receipts.”
The bank employees and other private persons who are the beneficiaries of the proceeds of crime and worked in connivance with Mehta and his associates are also covered in the search operations, said one of the officers’ privy to the development.
“The investigation revealed the alleged involvement of bank employees and private individuals who conspired with Alok Kumar Mehta and his associates to syphon off the proceeds of the crime. These individuals are believed to have played key roles in facilitating the fraud and benefiting from the misappropriated funds,” the officer told ANI.
The ED’s searches are aimed at uncovering additional evidence and tracking the flow of illicit money.
Patna, Bihar | Enforcement Directorate (ED) is carrying out raids at the residence of RJD MLA Alok Kumar Mehta.
More than a dozen locations have been raided since early morning, in connection with a money laundering case involving the leader. pic.twitter.com/t46SzrjFgh
— ANI (@ANI) January 10, 2025
This case adds to the growing scrutiny of high-profile financial crimes in the country, with enforcement agencies tightening their grip on alleged perpetrators of economic offences.
Representing the Ujiarpur constituency as an RJD MLA, Mehta has been an influential figure in Bihar politics and is known for his close association with RJD supremo Lalu Prasad Yadav.
Mehta has served in various capacities, including as a cabinet minister in the Bihar government, handling portfolios such as cooperative development.
A seasoned politician, Mehta has played a key role in shaping the party’s strategies and mobilising grassroots support in Bihar. He is recognised for his advocacy of social justice, a cornerstone of the RJD’s political ideology, and for being a vocal critic of the ruling BJP-led central government.
Mehta’s political career, however, has faced controversies, with recent allegations of financial irregularities leading to heightened scrutiny by central investigative agencies like the ED. (ANI)
