The Directorate of Enforcement (ED) said on Friday that it has filed a Prosecution Complaint against suspended Gujarat cadre Indian Administrative Service (IAS) officer Kankipati Rajesh and co-accused Rafiq Memon before the special PMLA Court, Ahmedabad on October 4 in an alleged money laundering case.
The court has taken cognizance of the Prosecution Complaint on the same day of filing, it said in a statement.
“The Enforcement Directorate (ED) had initiated money laundering investigation on the basis of an FIR registered by CBI against Kankipati Rajesh & Others under various sections of IPC, Section 43 r/w 66 of IT act, 2000 and Section 7 of PC Act, 1988,” it said.
ED said its investigation has revealed that Rajesh used to demand and accept illegal gratifications from the general public in lieu of discharging his official duties. In this way, he generated proceeds of crime and further utilised part of the proceeds of crime in the acquisition of immovable properties, it alleged.
Rajesh was arrested by ED on August 6 under the provisions of Prevention of Money Laundering Act (PMLA), 2002. The special PMLA court, Ahmedabad had ordered remand for Rajesh till August 8. Presently, he is in judicial custody.
ED has also attached assets worth ₹1.55 crore in the form of two immovable properties situated at Surat, bank balance and fixed deposits of the accused in the case as per the provisions of PMLA, 2002.
Earlier, the accused were arrested by the Central Bureau of Investigation (CBI) in an alleged bribery case. They were later handed over to ED as directed by the special PMLA court in Ahmedabad on August 5.
In July, CBI filed a charge sheet against Rajesh for taking bribes for issuing arms licences to ineligible people, allotment of government land to ineligible beneficiaries and grant of other illegal favours when he was the collector of Surendranagar.
CBI arrested the 2011 batch IAS officer of Gujarat cadre in July who was then serving as joint secretary in the General Administration Department (GAD) of the Gujarat government.
In May, CBI arrested a middleman named Rafiq Memon from Surat, who allegedly collected bribes on his behalf.
The alleged corruption charges against Rajesh surfaced in January 2021 when an Ahmedabad-based businessman filed a complaint with the Anti-Corruption Bureau (ACB), alleging that bribe was sought from him by Rajesh, who was then the Surendranagar district collector, for a weapon license.
After the corruption charges were levelled against him, Rajesh was soon transferred as the joint secretary, law and order, in the state home department and within a week, he was posted to the GAD in June 2021.