Patna: The Enforcement Directorate (ED) has arrested Amit Katyal, a businessman closely associated with Rashtriya Janata Dal (RJD) supremo Lalu Prasad and his son, former deputy chief minister Tejashwi Prasad Yadav, in connection with a real estate fraud worth over Rs 300 crore. The arrest, carried out under the Prevention of Money Laundering Act (PMLA), adds to the political turbulence in Bihar following the state assembly elections.
Close ties to the Yadav family
Katyal, who has previously been embroiled in economic crime cases, is said to manage a Delhi bungalow frequently used by Tejashwi Prasad Yadav. He is the promoter and director of M/s Angle Infrastructure Private Limited, a real estate company accused of multiple financial irregularities in the past.
Allegations of fraud
The ED’s investigation stems from an FIR filed by the Economic Offences Wing of Delhi Police, later incorporated into a money laundering probe. Authorities allege that Katyal and his associates misled investors in a Gurugram-based project, “Krrish Florence Estate,” which was purportedly aimed at government employees. Crores of rupees were allegedly collected before the project received licences, with investors deceived about construction progress and licence approvals. The funds were then reportedly laundered through multiple accounts and companies.
Investigative focus
Following Katyal’s detention and questioning, the ED is pursuing three main lines of inquiry: the flow of the Rs 300 crore, the beneficiaries of the funds, and any potential links to political financing. Further summonses and raids are anticipated in the coming days.
Political ramifications
The arrest has intensified scrutiny of the RJD, which is already facing challenges after recent electoral setbacks. Opposition leaders claim the case highlights alleged ties between controversial businessmen and the party’s leadership. RJD supporters and sources close to Tejashwi Prasad Yadav have described the arrest as a politically motivated move, accusing the central government of misusing investigative agencies to weaken opposition voices.
