Karnataka PSI recruitment scam spreads tentacles to Punjab, Telangana

The multi-crore “police sub-inspector recruitment scam” has crossed Karnataka borders, investigation has revealed. There is also a money-laundering angle to it, which has brought the Enforcement Directorate (ED) into the picture.

Investigating agency CID reportedly traced the “money-laundering links” of the alleged scamsters, including ADGP Amrit Paul, outside Karnataka. The states where the scam spread its tentacles reportedly include Punjab and Telangana.

With the help of the documents seized during raids, the ED has listed a few suspects, including politicians, and may question them, said sources without revealing the names.

Background of the PSI scam

CID has arrested more than 90 people in connection with the scam in Karnataka. Of them, around 30 are policemen, including an IPS officer of the rank of Additional Director General of Police (ADGP), Amrit Paul.

Also read: Karnataka PSI recruitment: The 4-step scam, and how it was detected

The Karnataka Police Recruitment Cell conducted exams to fill 545 police sub-inspector (PSI) vacancies in Karnataka Police in 2021. When the results were out, there were allegations of cheating and other corrupt practices in the examination. The state government ordered an investigation. The Karnataka High Court also pulled up the government and asked it to investigate the case thoroughly.

The scam is a classic example of the fence eating the crop, with the alleged involvement of politicians and bureaucrats apart from middlemen. More than 54,000 aspirants for PSI posts in Karnataka were cheated.

The CID raided various premises and arrested IPS Paul and close to 100 others. During the CID investigation, it was observed that the OMR sheet in the strong room of the Recruitment Cell at the CID headquarters had been tampered with.

Policemen in charge of the strong room allegedly switched off the CCTV camera, and two armed head constables allegedly entered the room and tampered with the OMR sheet. Furthermore, policemen allegedly took bribes from candidates to guarantee their selection illegally.

Also read: Senior IPS officer Amrit Paul arrested in multi-crore recruitment scam

CID sources said willing candidates had to cough up between Rs 60 lakh and Rs 1 crore per post, and some even paid more than Rs 1 crore. The racket reportedly involves Rs 100 crore, which the accused moved through the illegal money-laundering market across state borders, an official told The Federal.

ED investigation

Thus, the ED entered the scene and carried out searches under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, at 11 locations in Bengaluru and Patiala. These include the homes of ISP Amrit Paul and various other government officials and other accused. The searches reportedly led to the discovery and seizure of various incriminating records and electronic gadgets.

The ED, which sought details from the CID investigating team, found that the ill-gotten amount was put in the money-laundering market, mainly in Patiala, the native place of IPS Paul. Also, the other officials involved in the case allegedly channelled their earnings from the scam into the real estate market in Bengaluru, Hyderabad, and other places in Telangana and Andhra Pradesh.

The accused allegedly include mid-level politicians from the BJP and the Congress. The ED is looking into all angles and has sought details from the CID about the connection of IPS Paul and other accused with politicians and businessmen in Punjab and other states.

Also read: Scam-hit Karnataka BJP goes on offensive, unearths Congress-era scams

During raids in Patiala, Bengaluru, and other places, the ED reportedly found documents related to some important persons in Punjab. It may lead the ED to conduct surprise raids in Punjab, an official said.

The CID has reportedly shared the information with the Income Tax department, too.