A special court in Bengaluru on Wednesday remanded suspended Karnataka Public Service Commission chairman Shivashankarappa S Sahukar and commission member B V Geetha to Enforcement Directorate custody until October 19 in a money laundering investigation into alleged manipulation of the recruitment of 400 veterinary officers.
The two were arrested on Tuesday after fresh searches at their premises. “They were produced before the special Prevention of Money Laundering Act court at 3 pm on Wednesday. The court granted the ED the full 14 days of custody sought by the agency after hearing arguments from both sides,” said an official in the know.
Their arrests bring to four the number of people taken into custody by the ED in the case. The agency had earlier arrested former KPSC Controller of Examinations and IAS officer Gyanendra Kumar Gangwar and alleged middleman Basavaraj Kannale.
The investigation has since expanded beyond allegations of a leaked question paper. The ED has told the court that its questioning of Gangwar has pointed to a system in which confidential candidate performance data from KPSC merit lists could be used to identify candidates and negotiate bribes. The agency has said 13 KPSC recruitment exercises conducted during Gangwar’s tenure from 2024 to 2026 may require investigation.
At the centre of the veterinary recruitment case is an allegation that Gangwar helped Kannale obtain the examination paper before the January 8 and 9 test for 400 posts. The ED has alleged that the paper, containing the correct answers, was passed to candidates through Kannale in return for money.
{{/usCountry}}At the centre of the veterinary recruitment case is an allegation that Gangwar helped Kannale obtain the examination paper before the January 8 and 9 test for 400 posts. The ED has alleged that the paper, containing the correct answers, was passed to candidates through Kannale in return for money.
{{/usCountry}}The agency has said candidates were initially asked to pay about ₹80 lakh for selection, with the amount later negotiated to between ₹30 lakh and ₹40 lakh. Some payments were made in cash and through bank transfers, while some candidates allegedly handed over blank signed cheques and promissory notes for the balance. The ED said some of those documents were recovered during searches.
According to the agency, candidates were taken to locations on the outskirts of Bengaluru before the examination and given the leaked paper and answers to memorise. They were then transported to examination centres in vehicles arranged by the middlemen.
Sahukar’s residence in Dollars Colony was searched on Tuesday, the second such search by the ED after August 18. Officials examined documents relating to financial transactions, bank accounts, properties and recruitment during his tenure, and seized digital devices, according to people familiar with the operation.
Sahukar joined the KPSC as a member in 2019 and became chairman in 2021. He was suspended by Governor Thaawarchand Gehlot in August in connection with a separate allegation involving the recruitment of his daughter to a government post.
The veterinary recruitment case emerged after allegations that candidates had paid middlemen to secure selection. The CID is investigating the recruitment separately, while proceedings concerning a Karnataka High Court order for a special investigation team have also reached the Supreme Court.
The ED’s case also includes allegations concerning 29 candidates who paid lakhs of rupees. One of them, Sooguresh Jaka, is said to be a relative of Sahukar. Jaka allegedly secured 456.75 marks despite having failed two degree examinations. He later cleared the subjects through compartment examinations but had a low cumulative grade point average.
The police have also registered a separate FIR against Sahukar’s daughter, Suma S Sahukar, alleging that she submitted a false income certificate while applying for a government job under the 3B reservation category. Sahukar had earlier been questioned by the CID.