Ex-Jharkhand CM Koda in illegal deals worth Rs 2000 cr

The noose around former Jharkhand chief minister Madhu Koda tightened further on Sunday with Income-Tax and ED officials carrying out Madhu Koda interacts with media persons in Ranchi raids at several places in the state as well as outside, including the home of a former secretary of senior leader Shibu Soren.

The I-T department, probing a disproportionate assets charge against Koda, conducted raids in eight cities and over 60 premises owned by the former CM and his associates.

A senior ED official claimed that the documents seized so far proved that Koda was involved in illegal transactions worth over Rs 2,000 crore.

The I-T department and Enforcement Directorate jointly raided houses of Harendra Singh, Koda’s personal secretary, and M N Pal, Soren’s secretary, on Saturday.

Koda to be summoned for questioning soon

As former Jharkhand CM Madhu Koda comes under increasing pressure over alleged financial irregularities, Income Tax director (investigation ) Ujjwal Choudhary said: “We have come across some deals when Koda was the mines and geology minister and Arjun Munda was the chief minister. The deals indicate unaccounted transaction of money.”

Raids were also conducted on the houses of two mediapersons, Arup Chatterji and Prem Shyankaran. “The raids were conducted at the houses and offices of Arup Chatterji and Prem Shyankaran. Arup was till last month a reporter with Sahara News channel. He is planning to open a news channel. Prem is a contractor who started a Hindi newspaper,” Ujjwal Chaudhary said.

The searches were being conducted by at least 70 teams comprising 400 I-T sleuths and assisted by ED men in New Delhi, Kolkata, Mumbai, Lucknow, Nashik, Ranchi, Chaibasa and Jamshedpur.

Income tax sources confirmed after the raids that the department would soon summon Koda for questioning in the alleged hawala cases. They said notices would be sent under section 131 of Income Tax Act, 1961, which authorises the department to issue summons or to force attendance of any person for being examined on oath or to compel production of books of account and other documents.

Rags to illegal riches

Born into a poor family in Patahatu village in west Singhbhum, Koda worked as a labourer before joining BJP in 1994 Contested assembly polls in 2000 and became a minister when Jharkhand was carved out of Bihar. Between 2000 and 2005, served as minister during the Babulal Marandi and Arjun Munda regimes. Left BJP and fought 2005 state elections as an independent from Jagannathpur, won. Became mines and geology minister in BJP govt formed with support of 5 other independents.

Reports of corrupt dealings emerge. In September 2006, brought down Munda govt, became CM with support from Cong, RJD and Shibu Soren’s JMM. Several reports of corruption during tenure as CM from Sept 2006 to August 2008. In 2009, fought Lok Sabha election and won as independent from Singhbhum. Two corruption cases lodged against Koda, accused of purchasing mines in Liberia worth Rs 8.5 crore in the names of aides. Assets worth Rs 1800 cr alleged. Case lodged also under Prevention of Money Laundering Act. link