The investigation into the “Cash-for-Votes” scandal in Malegaon has taken a significant turn, revealing that six banks from Mumbai, including Bank of Baroda, IndusInd Bank, and Canara Bank, were involved in transferring large sums of money. The money laundering case, which focuses on an alleged attempt to manipulate the election process, has now linked these banks to the illegal transactions.
Earlier in November, the Enforcement Directorate (ED) raided several locations across Maharashtra and Gujarat as part of their probe into a Malegaon-based trader suspected of using other people’s bank accounts to carry out transactions exceeding Rs 100 crore. The ED has identified over 2,500 suspicious transactions across more than 170 bank branches in various states, including Maharashtra, Gujarat, Uttar Pradesh, Madhya Pradesh, and West Bengal.
The investigation is looking into whether these funds were being misused for money laundering, or to fund illegal activities related to elections, with the possibility of using “mule” accounts—accounts held by innocent individuals whose credentials were misused. The focus now is on identifying the main accused, Siraj Ahmed.
Kirit Somaiya, a former BJP leader, shared documents showing the involvement of the six Mumbai-based banks and criticized the banks for poor Know Your Customer (KYC) procedures. He called on the Reserve Bank of India (RBI) to take strict action against these banks and their staff. Somaiya expressed concern that such incidents could threaten the integrity of democracy and electoral processes.
While the investigation is still ongoing, no direct evidence has yet been found linking the money laundering activities to electoral malpractice. However, the ED continues to gather more information to understand the full extent of the scam.
