The Enforcement Directorate has filed a prosecution complaint against Reliance Infrastructure and Sateesh Seth regarding an alleged ₹187 crore money laundering scheme involving NHAI road projects.

Key Takeaways

  • ED filed a prosecution complaint against Reliance Infrastructure Ltd and Sateesh Seth.
  • Alleged diversion of ₹187 crore from four NHAI toll-road projects.
  • Funds were routed through shell companies and fictitious diamond imports.
  • Assets worth ₹187 crore have been provisionally attached.

The Directorate of Enforcement (ED) has intensified its crackdown on Reliance Infrastructure Limited (RIL) by filing a formal Prosecution Complaint in a massive ₹187-crore money laundering investigation. The complaint, filed under the Prevention of Money Laundering Act (PMLA), 2002, was presented before the Special Court in Dwarka, New Delhi.

The core of the investigation revolves around the alleged siphoning of funds from four critical NHAI-awarded toll-road projects. These projects included the Trichy-Karur, Trichy-Dindigul, Salem-Ulundurpet, and Jaipur-Reengus routes. The funds, which included NHAI grants and bank loans, were reportedly diverted through a complex web of shell entities.

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The Modus Operandi

According to the ED's findings, the accused utilized an organized scheme involving sham, post-facto, or back-dated arrangements for fictitious sub-contracting work. The money trail moved from RIL or its Special Purpose Vehicles (SPVs) to construction contractors, and eventually to shell companies with no legitimate connection to road construction. To further obfuscate the trail, the funds were layered through diamond traders using over-valued imports.

Why This Matters

BozokMedia analysis shows that such large-scale diversion of public infrastructure funds poses a systemic risk to the integrity of national development projects. When capital intended for public utility is siphoned into private shell networks, it undermines the financial stability of the entire construction and banking sector.

The use of layered transactions through diamond trading is a classic tactic used to mask the illicit origin of diverted public funds.

In a significant move, the ED has already provisionally attached assets worth ₹187 crore, including immovable properties and equity shares of Reliance Power Limited. Sateesh Seth, a key figure in the case, remains in judicial custody following his arrest in June 2026.

Historical Background

The investigation was triggered by an FIR registered by the Economic Offences Wing (EOW), Mumbai, on February 11, 2026. The EOW had flagged the use of forged documents and bank accounts to facilitate outward remittances through fictitious invoices.

Did You Know?: 'Layering' is the second stage of money laundering, designed to make the audit trail as difficult as possible to follow.

Frequently Asked Questions

1. Which projects are involved in this investigation?
The investigation involves four NHAI toll-road projects: Trichy-Karur, Trichy-Dindigul, Salem-Ulundurpet, and Jaipur-Reengus.

2. What assets has the ED attached?
The ED has attached assets worth ₹187 crore, including land and equity shares of Reliance Power Limited.