MM TAX CLUB

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properties were later sold, and the proceeds were routed back to the firms, with a large part of the money ultimately withdrawn in cash, indicating classic layering and laundering of proceeds of crime.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.