Illegal iron ore export case: ED raids places linked to K’taka MLA Satish Sail, seizes cash, gold

August 15, 2025

New Delhi: The Enforcement Directorate (ED) on August 13–14 conducted searches at multiple locations including Karwar (Uttara Kannada), Goa, Mumbai, and New Delhi in an ongoing probe into an illegal iron ore export scheme. The operation targeted Karnataka MLA Satish Krishna Sail and several associated entities, under the Prevention of Money Laundering Act (PMLA). The agencies recovered cash totaling Rs 1.68 crore and 6.75 kg of gold jewellery and bullion during the raids.

The ED’s inquiry links Sail to a network involving M/s Ashapura Minechem Ltd, M/s Shree Lal Mahal Ltd, M/s Swastik Steels (Hosepet) Pvt Ltd, M/s ILC Industries Ltd, M/s Sri Lakshmi Venkateshwara Minerals Ltd, and others who were previously convicted by a Bengaluru Special Court for MPs and MLAs in connection with illegal iron ore exports by M/s Shree Mallikarjun Shipping Pvt Ltd.

The investigation is based on a conviction order under the Indian Penal Code and the Prevention of Corruption Act. Allegations suggest Sail colluded with business entities and Belekeri Port officials to illegally export about 1.25 lakh metric tonnes of iron ore fines between April 19 and June 10, 2010. The ore, valued at around Rs 86.78 crore, had already been seized by the Forest Department in Ankola.

During the searches, Rs 1.41 crore in cash was found at Sail’s residence, and Rs 27 lakh at the premises of M/s Shree Lal Mahal Ltd. Gold was located in a bank locker belonging to the Sail family. Bank accounts linked to Sail and the associated firms, holding roughly Rs 14.13 crore, have been frozen. Incriminating documents, emails, and other records were seized, and the ED indicated that the investigation is ongoing.