ED arrests three in IMC fake bill scam

Indore: Three persons were arrested on Wednesday by officials of directorate of enforcement (ED), Indore sub-zonal office, in the multi-crore Indore Municipal Corporation (IMC) fake bill scam.

The three accused, Abhay Singh Rathore, Mohd. Zakir, and Rahul Badera, were arrested under Prevention of Money Laundering Act (PMLA), 2002 and were sent to ED custody till June 5 by special court (PMLA) in Indore, an ED press release stated.

The ED had initiated probe based on multiple FIRs and chargesheets filed at MG Road police station concerning fraudulent fund withdrawals through forged work orders and non-existent project records.

Investigations revealed that between 2018 and 2023, fake bills totalling Rs 119.53 crore were submitted to IMC for non-existent works, resulting in fraudulent disbursements of Rs 86.54 crore. Additionally, Rs 6.22 crore was siphoned off prior to 2018 using the same method, bringing the total quantified fraud to Rs 92.76 crore.

Abhay Singh Rathore, a former assistant engineer at IMC, was identified as a principal conspirator who facilitated the fake work orders. Contractors Mohd. Zakir and Rahul Badera allegedly received Rs 71.78 crore through their firms without executing any actual work.

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Ex- district excise officer’s assets attached

The ED’s Bhopal Zonal Office has provisionally attached movable and immovable properties worth Rs 18.20 crore belonging to Dharmendra Singh Bhadauria, former district excise officer of Alirajpur, and his family.

The action stems from a Lokayukta FIR alleging possession of assets disproportionate to known income sources. Investigation revealed that between 1987 and August 2025, Bhadauria amassed assets valued at Rs 11.18 crore against a lawful income of Rs 2 crore. The attached assets include cash, gold jewellery, bullion, and real estate, categorized as proceeds of crime.