ED probes Rs 1.94 cr money laundering fraud at Burdwan University; Bank officials under scrutiny

The Enforcement Directorate (ED) has started an investigation into the alleged embezzlement of approximately Rs 1.94 crore from Burdwan University. The case involves suspicious premature withdrawal of fixed deposit funds from a state-owned bank’s Station Bazaar branch in Burdwan city. The probe is being conducted under the Prevention of Money Laundering Act (PMLA).

ED Assistant Director Mukesh Kumar had earlier written to the bank seeking detailed information about the transactions and accounts involved. Following this, three bank officials were summoned to the ED office for questioning. The ED has requested information regarding the officials’ bank accounts as well as their movable and immovable assets from 2021 to 2024.

The investigation focuses on three fixed deposit accounts where university funds were deposited. The ED has also sought information about the role of the Circle Head and Deputy Circle Head of the Station Bazaar branch and about the approvals obtained from senior officials for withdrawing funds before the fixed deposit maturity period.

The issue first came to light on February 6, 2024, when an application was submitted at the bank requesting withdrawal of funds from a fixed deposit before maturity. The application instructed the bank to transfer the withdrawn amount not to the university’s savings account but to the account of a contractor company. Bank officials found the letter suspicious and verified with the university, which denied issuing the letter.

Following this, the bank lodged a complaint with the Burdwan police station. Subsequently, the university registrar filed a formal complaint with the police. The CID took over the investigation and filed a charge sheet naming 10 individuals, including Bhakta Mandal, a senior assistant in the university’s finance department, and three bank officials. One university employee has been arrested so far, while others remain at large.

The involvement of the Enforcement Directorate marks an escalation of the investigation. The ED’s probe is aimed at uncovering possible money laundering and further financial irregularities related to the embezzlement of university funds. The inquiry is ongoing, with bank officials and university employees under scrutiny.