Chandigarh, Sept 29: The Directorate of Enforcement conducted extensive searches at 14 locations across Chandigarh, Mohali, and Panchkula as part of an ongoing money laundering probe into the alleged embezzlement of Rs 645 crore belonging to public entities.
The investigative agency launched the probe under the Prevention of Money Laundering Act following an FIR registered by the Haryana Police in February 2026. That initial case centered on severe financial discrepancies discovered in the bank accounts of the Development and Panchayat Department of Haryana, which were maintained with IDFC First Bank and AU Small Finance Bank. The scope of the missing funds also involves accounts tied to the Chandigarh Municipal Corporation and other government bodies.
During the operations, enforcement officials targeted several well-known jewelry firms and associated businesses in the region, including Sham Jewellers, Sunder Jewellers, Malik Jewellers, KLG Jewels along with its linked entities, and M.B. Gold Traders. Searches were also carried out at premises linked to Gourav Kansal, who officials identified as an alleged middleman involved in facilitating the transactions.
Enforcement officials stated that the embezzled public funds were routed through various bank accounts belonging to these jewellers to project the illicit money as regular business dealings. Investigators maintained that these transactions were executed in close connivance with the key accused to systematically disguise and integrate the proceeds of crime into the financial stream as legitimate assets.
