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ED Files Prosecution Complaint in Inter-State Drug Trafficking & Money Laundering Case
February 7th, 2026
Posted By: Team-MMTaxClub

The Directorate of Enforcement (ED), Jalandhar Zonal Office, has taken a major step against an inter-state drug trafficking network by filing a Prosecution Complaint on 6 February 2026 before the Hon’ble Special Court under the Prevention of Money Laundering Act (PMLA), 2002 at Mohali.

The case involves Abhishek Kumar, Soul Healthcare (I) Pvt. Ltd., M/s Aster Pharma, and several other related individuals and entities. The investigation is linked to the illegal supply of psychotropic and intoxicant substances, including Tramadol and Alprazolam, across state borders.

How the Case Began

The ED initiated its investigation based on an FIR registered by the Punjab Police under the NDPS Act, 1985, following the recovery of Tramadol-based tablets and drug money in cash from drug peddlers.

Key Findings of ED Investigation

The investigation revealed a well-organized network involving manufacturers, distributors, middlemen, and drug peddlers:

  • Middlemen firms such as M/s Shri Shyam Medical Agency, M/s MP Traders, and M/s Kanix Pharma procured large quantities of psychotropic tablets from pharmaceutical manufacturers.

  • These drugs were diverted for illegal cash sales without proper bills, prescriptions, or stock registers.

  • Soul Healthcare (I) Pvt. Ltd., the manufacturer of Tramadol-based tablets, along with its distributor M/s Aster Pharma, was found to be directly involved in illegal sales.

  • Tablets were transported via courier services from manufacturing units to middlemen, who further supplied them to drug peddlers.

  • While invoice-equivalent amounts were routed through bank accounts, excess proceeds were paid in cash, forming the proceeds of crime.

  • Searches, Arrests, and Attachments

  • Searches were conducted on 17 June 2025 under Section 17 of PMLA, resulting in the seizure of ₹4 lakh in cash and incriminating documents.

  • Abhishek Kumar of M/s Shri Shyam Medical Agency was arrested on 9 December 2025 and is currently in judicial custody.

  • Assets worth ₹2.19 crore, including movable and immovable properties belonging to individuals connected with Aster Pharma, Soul Healthcare, Kanix Pharma, MP Traders, and others, were provisionally attached vide Provisional Attachment Order No. 1/2026 dated 02.02.2026.

    A Serious Threat to Society

    The ED has highlighted that this network spans across manufacturers, distributors, and retailers, facilitating the illegal circulation of psychotropic drugs. Such activities pose a serious risk to public health, contributing to widespread misuse and addiction, especially among youth.

    What Lies Ahead

    The filing of the prosecution complaint marks a significant milestone, but further investigation is still underway. The case underscores the government’s continued focus on curbing drug trafficking and dismantling financial networks that fuel such crimes.

ED Files Money Laundering Case Against Ex-Principal of RG Kar Medical College
February 7th, 2026
Posted By: Team-MMTaxClub

The Directorate of Enforcement (ED), Kolkata Zonal Office has filed a Prosecution Complaint before the Ld. Chief Judge (PMLA), Kolkata in a money laundering case under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. The case has been filed against Sandip Ghosh, former Principal of RG Kar Medical College and Hospital, along with three other accused entities.

Background of the Case 

 

The ED initiated its investigation based on an FIR dated 24 August 2024 registered by the CBI, ACB Kolkata against Sandip Ghosh and other associated contractors. Subsequently, a chargesheet dated 29 November 2024 was filed under various sections of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988.

According to the investigation, Sandip Ghosh allegedly abused his official position to dishonestly and fraudulently extend undue benefits to certain firms. These firms were allegedly operating as a cartel, controlled by co-accused Biplab Singha and Suman Hazra. 

Modus Operandi Revealed

The ED’s probe revealed that substantial funds credited to contractors’ accounts—originating from RG Kar Medical College and Hospital—were systematically diverted and siphoned off. This was done through:

  • Withdrawals using bearer cheques issued to close associates

  • Transfers to associate firms, followed by cash withdrawals

  • Routing funds through multiple layers of financial transactions

These actions were allegedly undertaken to conceal, disguise, and project the Proceeds of Crime as untainted money. 

Illegal Gratification and Disproportionate Assets

In exchange for extending illegal patronage and awarding contracts worth approximately ₹6.89 crore, Sandip Ghosh allegedly received illegal gratification and pecuniary benefits from the contractors.

The investigation also revealed that:

  • His income from private medical practice was meagre

  • Cash deposits in his bank accounts were grossly disproportionate to his known sources of income

  • Large cash receipts were falsely shown as professional medical fees, despite no medical services being rendered

  • These funds were allegedly deposited into the bank accounts of Sandip Ghosh and his wife, and later transferred to family members under the guise of gifts, knowingly projecting tainted money as legitimate.

    Searches and Attachment of Properties

    Earlier, search operations were conducted under Section 17 of the PMLA, 2002, leading to the seizure of incriminating documents and records. The ED has also identified and provisionally attached movable and immovable properties worth ₹52,38,651 belonging to Sandip Ghosh. 

  • Current Status

    The Prosecution Complaint has now been filed, and further investigation is still in progress. The case highlights serious concerns regarding corruption, misuse of public office, and laundering of public funds within the healthcare system.

DGFT Amends Import Policy for Umbrellas under ITC (HS) 2022
February 6th, 2026
Posted By: Team-MMTaxClub

Import Policy Update: Platinum Articles Now Restricted (ITC HS 71141920)
February 6th, 2026
Posted By: Team-MMTaxClub

The Directorate General of Foreign Trade (DGFT) has issued Notification No. 58/2025-26 dated 5 February 2026, bringing an important change in the import policy for Articles of Platinum under ITC (HS) Code 71141920, covered in Chapter 71 of ITC (HS), 2022.

???? What Has Changed?

Earlier, the import of Articles of Platinum was classified as “Free”. With immediate effect, this category has now been moved to “Restricted”.

This means that importers can no longer freely import platinum articles and will need to comply with specific policy conditions and approvals as prescribed under the Foreign Trade Policy.

???? New Policy Condition Introduced

DGFT has introduced Policy Condition No. 6 in Chapter 71, which clearly states:

Import of Platinum Articles is Restricted

However, relief has been provided for certain genuine cases where re-import will still be allowed under the Free category.

✅ Re-imports Allowed Without Restriction

The following categories of re-import of Indian origin platinum articles will continue to remain Free:

  1. Goods sent abroad for exhibitions or export promotion tours and brought back to India.

  2. Goods rejected, returned, or remaining unsold by overseas buyers.

  3. Goods sent abroad for repair and re-imported after repair.

???? Practical Impact

  • Jewellery manufacturers, traders, and importers dealing in platinum articles must re-evaluate their import plans.

  • New imports will require specific authorization under the restricted category.

  • Proper documentation will be critical to prove Indian origin in case of re-imports.

???? Why This Matters

Platinum is a high-value precious metal, and this move signals tighter regulatory control to monitor imports, prevent misuse, and ensure better compliance with foreign trade norms.

If you are involved in the jewellery, precious metals, or import-export business, this update is crucial for avoiding delays, penalties, or non-clearance of goods.

 

ED Arrests Former Rajasthan MLA Baljeet Yadav in ₹2.87 Crore MLA-LAD Funds Scam
February 6th, 2026
Posted By: Team-MMTaxClub

The Directorate of Enforcement (ED), Jaipur Zonal Office, has arrested Baljeet Yadav, former MLA from the Behror constituency, Rajasthan, on 3rd February 2026 under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. The arrest is linked to an ongoing investigation into the alleged embezzlement of ₹2.87 crore of MLA-LAD funds during his tenure as an MLA from 2018 to 2023.

Alleged Modus Operandi of the Scam

According to the ED’s invest

The funds were officially sanctioned for the purchase of sports equipment for 32 government schools in his constituency. However, instead of following transparent procurement norms, multiple private firms were allegedly created and controlled indirectly by Yadav and his associates.

These firms included:

  • M/s Balaji Complete Solution Pvt. Ltd.

  • M/s Surya Enterprises

  • M/s Rajput Sports Enterprises

  • M/s Sharma Sports Enterprises

The investigation revealed that these entities were incorporated using the identity documents of employees and associates, had no prior experience in sports equipment trading, and were formed after administrative and financial approvals had already been granted by Zila Parishad, Alwar.

Tender Manipulation and Fake Billing

ED found that tenders were issued in violation of prescribed procurement rules, deliberately restricting competition to ensure that contracts were awarded to the above entities. Inferior quality sports goods were allegedly procured in cash, while inflated bills were submitted to Panchayat Samiti, Neemrana, which were subsequently sanctioned.

Money Laundering Trail

Bank account analysis conducted by ED revealed that the funds received by these firms were diverted to the relatives and associates of Baljeet Yadav. A portion of the funds was used to purchase properties in their names. These properties were later sold, and the proceeds were routed back to the firms, with a large part of the money ultimately withdrawn in cash, indicating classic layering and laundering of proceeds of crime.

Searches and Seizures

Earlier, on 24th January 2025, ED conducted search operations at nine locations across Jaipur and Dausa (Rajasthan) and Rewari (Haryana) under the provisions of PMLA, 2002. During these searches, the agency seized:

  • ₹31 lakh in cash

  • Incriminating documents and records

  • Multiple digital devices

These seizures provided crucial evidence establishing the laundering of MLA-LAD funds.

Legal Proceedings and Custody

Following his arrest, Baljeet Yadav was produced before the Special PMLA Court, Jaipur, which granted three days of ED custody for further investigation.

The ED investigation stems from FIR No. 287/2024 dated 12.12.2024, registered by ACB, Jaipur, under:

  • Sections 7(c), 13(1)(a), 13(2) of the Prevention of Corruption Act, 1988

  • Sections 409 and 120B of the IPC, 1860

  • Section 41 of the Rajasthan Transparency in Public Procurement Act, 2012

These offences are classified as scheduled offences under PMLA, enabling ED to take action.

What Lies Ahead

The ED has stated that further investigation is ongoing, and more details may emerge as the financial trail is examined in depth. The case highlights the serious consequences of misuse of public funds and the increasing scrutiny of political corruption through financial investigation laws like PMLA.

igation, Baljeet Yadav was the key conspirator in misappropriating MLA-LAD funds by manipulating the procurement process meant for public welfare.