ED Raids Rock West Bengal Over Massive Welfare Wheat Diversion Scam
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The Enforcement Directorate conducted widespread raids across West Bengal on April 25, 2026, targeting an alleged large-scale diversion of Public Distribution System (PDS) wheat meant for welfare schemes. This major crackdown is part of an ongoing money laundering probe into a multi-crore ration distribution scam that has deep political connections.
Unraveling the West Bengal Welfare Wheat Diversion Scam
In a significant development in the ongoing investigation into the alleged Public Distribution System (PDS) scam in West Bengal, the Enforcement Directorate (ED) carried out extensive search operations on Saturday, April 25, 2026. The raids targeted nine different locations across Kolkata, Burdwan, and Habra in the North 24 Parganas district. These operations are part of a money laundering probe under the Prevention of Money Laundering Act (PMLA) and are focused on the illicit diversion of wheat intended for crucial welfare programs.
How Welfare Wheat Was Allegedly Diverted
The ED's investigation has reportedly uncovered a systematic modus operandi employed by the accused to divert PDS wheat. This intricate scheme involved the procurement of wheat at low prices through unauthorized channels, facilitated by an alleged collusion among suppliers, licensed distributors, dealers, and various middlemen. Once procured, large quantities of this welfare wheat were illegally diverted from the legitimate supply chain and stockpiled at multiple undisclosed locations.
To mask the origin of these food grains, the culprits allegedly removed or reversed the original gunny bags bearing the markings of the Food Corporation of India (FCI) and the state government. The wheat was then refilled into new bags, effectively hiding its identifying features and allowing it to be passed off as legitimate stock. This repackaged wheat was subsequently sold in the open market or even exported, resulting in the undue enrichment of the accused and the generation of significant proceeds of crime.
ED Launches Fresh Crackdown
The latest series of raids by the ED on April 25, 2026, stems from an FIR registered by the West Bengal Police on October 23, 2020. This original complaint, lodged by the Deputy Commissioner of Customs at Ghojadanga Land Customs Station, detailed allegations of a large-scale diversion of PDS wheat intended for welfare schemes. The ED's Kolkata zonal office initiated its money laundering probe based on this FIR.
Key Individuals and Companies Under Scanner
The recent searches targeted the residential and office premises of several individuals and entities suspected to be involved in the scam. Among those specifically mentioned are three rice traders: Sagar Saha (identified as Susanto Saha, proprietor of Sagar Enterprises), Partha Saha (proprietor of Adarsha International), and Samir Chandra Kumar (also Samir Kumar Chandra, proprietor of another company). Other names linked to the investigation include Niranjan Chandra Saha and Kanchan Som. Furthermore, companies such as Maa Annapurna Rice Concern, Cynax Aannaapurna Udyog Private Limited, and KG Food Trading (with its proprietor Daulat Ram Gupta) are also under scrutiny.
Political Connections and Previous Arrests
This ongoing investigation is not new to political controversy. The ED had previously arrested former West Bengal Food and Supplies Minister, and later Forest Minister, Jyotipriya Mallick, on October 27, 2023. He was apprehended in connection with an alleged ration distribution scam estimated to be between Rs 9,000 to Rs 10,000 crore. Mallick was granted bail in January 2025 after spending 14 months in custody. Significantly, the three businessmen whose premises were searched on April 25, 2026, are reported to have close ties to Jyotipriya Mallick.
The timing of these raids, occurring just days before the second phase of the West Bengal Assembly elections on April 29, 2026, has amplified political discussions. Mallick himself is a candidate from the Habra constituency, which is scheduled for polling on this date. The Trinamool Congress (TMC) has reportedly termed these searches as politically motivated. Actress-turned-politician Nusrat Jahan, a former Trinamool Congress MP, has also been questioned by the ED in connection with this broader investigation. The probe has also touched upon an incident prior to the 2021 Assembly elections, where 175 vehicles loaded with rice and wheat were intercepted while allegedly being smuggled into Bangladesh near the Ghojadanga border in Basirhat.
The Larger Scam and Its Impact
The alleged PDS scam in West Bengal is far-reaching. In January 2024, the ED informed a Kolkata court that the total value of the irregularities in this case could be around ₹20,000 crore. Such a massive diversion of welfare scheme wheat directly impacts the most vulnerable sections of society, who rely on the Public Distribution System for affordable food grains. The siphoning off of these essential commodities for illegal profit not only constitutes a financial crime but also represents a severe betrayal of public trust and a direct blow to food security initiatives.
Ongoing Investigation and the Road Ahead
The ED's investigation is ongoing, and further developments, including potential arrests and seizures, are expected soon. The agency is meticulously tracing the money trail and identifying all individuals and entities involved in this extensive network of diversion and money laundering. As the second phase of the Assembly elections unfolds on April 29, 2026, the political reverberations of these raids are likely to continue, keeping the issue of corruption and welfare scheme integrity at the forefront of public discourse.