ED raids 17 locations in Bengaluru over seat blocking scam in Engineering colleges

Bengaluru: Directorate of Enforcement (ED), Bengaluru Zonal Office has conducted search operations at 17 locations related to seat blocking scam in private engineering colleges in Bangalore on June 25 and June 26 under the provisions of Prevention of Money-Laundering Act (PMLA), 2002, said the agency on Saturday. The search proceedings were conducted at the office.

Bengaluru: Directorate of Enforcement (ED), Bengaluru Zonal Office has conducted search operations at 17 locations related to seat blocking scam in private engineering colleges in Bangalore on June 25 and June 26 under the provisions of Prevention of Money-Laundering Act (PMLA), 2002, said the agency on Saturday.

The search proceedings were conducted at the office premises of BMS College of Engineering, Akash Institute of Engineering and Technology, New Horizon College of Engineering, and persons associated with these institutions. The search proceedings were also conducted at the premises of a few entities engaged in educational consultancy services and some private agents associated with the scam, the ED said.

According to the ED, during the search operations, various incriminating documents related to money laundering activities and other digital devices have been found and seized. The search proceedings have revealed evidence with respect to widespread seat blocking and the use of cash/money in the admission process in popular professional courses in private institutes.

There is an extensive network of agents, educational consultancy service entities, which is used to bring students for admission from across India to these institutes. The admission in Management quota seats is done mostly in an opaque manner based on extraneous considerations such as cash/money, according to the ED.

In addition to the evidence gathered, the Proceeds of Crime in the form of cash to the tune of Rs. 1.37 Crore (approx.) were also found and seized during the search proceedings, the ED added.

Earlier, ED initiated an investigation on the basis of an FIR registered by the KEA (Karnataka Examination Authority) against BMS College of Engineering, Akash Institute of Engineering and Technology, New Horizon College of Engineering and unknown persons under various sections of IPC/BNSS.

It is alleged that these colleges colluded with unknown persons, obtained the log-in credentials of students registered with KEA and blocked seats by opting for seats in their college in the name of students who were not actually going to take admission. Further investigation is in progress.