ED Raids 20 Locations Across Four States in ₹1,500-Crore Areca Nut Smuggling and Money Laundering Probe
The Enforcement Directorate (ED) has carried out coordinated search operations at 20 locations across Assam, Mizoram, West Bengal and Uttar Pradesh as part of a major money laundering investigation into an alleged cross-border areca nut (betel nut) smuggling syndicate. The searches were conducted by the ED’s Guwahati Zonal Office under the Prevention of Money Laundering Act (PMLA) following multiple FIRs related to customs duty evasion and illegal imports of foreign-origin areca nuts.
According to the agency, the investigation stems from findings of the Directorate of Revenue Intelligence (DRI), which had earlier seized more than 655 metric tonnes of smuggled areca nuts along with vehicles used for transporting the consignments. Investigators allege that the syndicate smuggled areca nuts from Myanmar through the Champhai–Zokhawthar border route in Mizoram before distributing them across several Indian states using forged GST invoices, fake firms and fabricated transport documents.
The ED claims that the illegal operation involved a well-organised network comprising suppliers in Mizoram, facilitators in Assam, financiers and consignees in West Bengal and Uttar Pradesh, as well as transport operators responsible for moving the consignments. Financial investigations have allegedly uncovered proceeds of crime exceeding ₹1,500 crore, which were laundered through shell entities, intermediary bank accounts and layered financial transactions to conceal the origin of the funds.
During the searches, the agency seized incriminating documents, business records, electronic devices including mobile phones, laptops and hard drives, title deeds relating to immovable properties, and unexplained cash amounting to ₹1.30 crore. The ED also froze 33 bank accounts allegedly linked to members of the syndicate as part of efforts to preserve suspected proceeds of crime.
Investigators further allege that a significant portion of the illicit earnings was invested in high-value real estate across multiple cities, indicating an extensive money laundering network beyond the smuggling operation itself. The agency is now examining the financial trail, ownership of assets and the role of individuals and business entities connected to the alleged syndicate. Additional attachments and prosecution under the PMLA may follow depending on the outcome of the investigation.
