Khichdi distribution scam: ED carries out searches across eight locations linked to BMC officials, contractors

The Enforcement Directorate conducted searches at multiple locations in Mumbai, including the residences of a deputy municipal commissioner and a Shiv Sena party secretary, as part of its money-laundering investigation into alleged irregularities in the distribution of "khichadi" to poor and migrant workers during the Covid-19 pandemic. The investigation is focused on inflated rates and possible involvement of civic officials and middlemen with political influence. The probe was initiated based on a complaint filed by the Mumbai Police's Economic Offences Wing.

MUMBAI: The Enforcement Directorate (ED) on Wednesday conducted searches at around eight locations in the city, including the residential premises of a deputy municipal commissioner with the Brihanmumbai Municipal Corporation (BMC) and the residential premises of a Shiv Sena (UBT) party secretary, as part of its money-laundering investigation related to alleged irregularities involved in distribution of “khichadi” to poor and migrant workers during Covid-19 pandemic.

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Apart from the premises of deputy municipal commissioner Sangeeta Hasnale and the Chembur residence of Shiv Sena (UBT) party secretary Suraj Chavan, ED officials also searched the premises of contractors tasked with the supply of khichdi. Chavan’s residence was also searched by the agency in June in the course of its probe into alleged irregularities related to the civic contract on the supply of medical manpower to Jumbo Covid Centres in Dahisar and Worli awarded to the Lifeline Hospital Management Services (LHMS), which was the first case probed by the agency as part of its scanner on the BMC’s ₹4,000 crore expenditure on covid - related contracts.

Hasnale was an assistant municipal commissioner during the time the Khichdi contract was allegedly planned for operation, sources said. Apart from Chavan, one of his relatives is under the scanner of the agency too.

The agency suspects that the contractors had allegedly supplied khichdi to the BMC at inflated rates with the help of certain civic officials who are under the scanner. It is also alleged that a few middlemen with political influence were at play who helped the contractors bag the supply contract in lieu of payments.

The ED began its money-laundering investigation on the basis of a September First Information Report of the Mumbai police’s Economic Offences Wing (EOW) that alleged there were irregularities worth ₹6.37 crore in the case. The EOW case was registered on September 1 against businessman Sujit Patkar, the close aide of a senior Shiv Sena (UBT) leader, Sunil alias Bala Kadam, Sahyadri Refreshments’ R Salunkhe, Force one Multi Service’s partners and employees, Sneha Caterer’s partners, then assistant municipal commissioner (Planning) and other unidentified BMC officers.

The EOW case was registered under several sections including those related to cheating and criminal conspiracy under the Indian Penal Code after the police detected financial irregularities in the award of contracts for the distribution of ‘khichdi’ during the Covid-19 pandemic by the BMC. It was alleged that the contractor that was given the contract by BMC to provide khichdi did not fit in the criteria as it did not have the food licence and so it gave the sub-contact to another firm. It was also alleged that the food packets to be distributed were required to weigh 300 grams but they weighed less.

The EOW had earlier questioned Chavan and Shiv Sena (UBT) leader Amol Kirtikar, as part of its investigation. Patkar and LHMS were earlier charge-sheeted by the ED in its probe related to the Jumbo Covid Centers.