ED Attaches ₹1.22 Cr Assets in KPSC Recruitment Scam

New Delhi: The Enforcement Directorate (ED) has attached assets worth ₹1.22 crore belonging to suspended Karnataka Public Service Commission (KPSC) chairman Shivashankarappa S. Sahukar, former member B.V. Geetha and IAS officer Gyanendra Kumar Gangwar in connection with an alleged recruitment scam.

The attachment includes movable and immovable properties belonging to the three accused, the agency said on Saturday.

The money laundering investigation stems from multiple FIRs registered by Karnataka police over alleged irregularities in a KPSC examination conducted to recruit 400 veterinary officers.

Gangwar was serving as the KPSC controller of examinations at the time of the alleged irregularities.

The ED said Sahukar, Geetha, Gangwar and alleged middleman Basavaraj Kannale had been arrested in the case.

According to the agency, Gangwar allegedly provided correct answers to 80 questions to six candidates by manipulating seating arrangements and using examination charts. The candidates' registration numbers were allegedly supplied by Geetha.

The ED claimed that Sahukar had assured Gangwar favourable interview marks in a Karnataka Administrative Service examination for a candidate of his choice in return.

The agency alleged that Sahukar collected ₹10 lakh from a candidate against a deal worth ₹20 lakh, while Geetha received ₹20 lakh from another candidate against an alleged agreement of ₹40 lakh.

Investigators also found that suspected bribe money had allegedly been routed through accounts at Om Lakshmi Souharda Sahakari Sangha Niyamita, a cooperative bank in Bhalki, Bidar district, and through third-party accounts.

The transactions were allegedly disguised as savings account deposits.

The ED further alleged that Kannale arranged payments of ₹13.31 lakh towards air travel expenses for Gangwar, his family members and friends through third-party bank accounts.

The properties were attached under the Prevention of Money Laundering Act as part of the ongoing investigation.