Indore (Madhya Pradesh): In the Rs 20.47 crore scam involving government funds of Katthiwada village in Alirajpur district, the Directorate of Enforcement (ED) has provisionally attached 56 residential plots located in Dhar district.
The market value of the attached plots is estimated at Rs 6 crore. The attachment has been made under the Prevention of Money Laundering Act (PMLA), 2002.
The action was carried out by the ED's Indore Sub-Zonal Office. The attachment is part of an ongoing probe into the embezzlement of government funds amounting to Rs 20.47 crore from the Block Education Office (BEO), Katthiwada village in Alirajpur district.
In a statement issued on Thursday, the ED said it initiated the investigation based on an FIR registered at Police Station Katthiwada regarding fraudulent treasury payments made between 2018 and 2023.
The investigation revealed that then Block Education Officer (BEO) Kamal Rathore, in connivance with other accused persons, siphoned off government funds from the treasury in Alirajpur, the statement said.
The embezzled money was routed through multiple bank accounts controlled by Rathore and his family members, withdrawn in cash and used to purchase agricultural land in Gandhwani tehsil of Dhar district.
Further investigation showed that the agricultural land, acquired from the proceeds of crime, was later developed into residential plots under the project named Shri Balaji Dham.
The development was allegedly carried out to conceal the illicit origin of the funds and project the tainted property as legitimate.
The latest attachment adds to earlier enforcement actions. Previous searches conducted under the PMLA led to the seizure of incriminating documents and the freezing of bank accounts.
Kamal Rathore was arrested for his alleged role in money laundering. In an earlier move, assets worth Rs 4.43 crore belonging to the accused were provisionally attached, and the competent authority later confirmed the attachment on March 10.
A Prosecution Complaint was also filed before the Special Court (PMLA), Indore, on Sept 29, 2025, against Kamal Rathore and other accused persons.
The case highlights an alleged money laundering operation in which public funds meant for education were diverted for personal gain through land development.
The attached properties are now under the ED's control, preventing any sale or transfer.
Further investigation is under way to trace the full extent of the money trail, identify additional beneficiaries and recover more proceeds of crime.
