ED Cracks Down on Bengal's Shakambhari Group for Illicit Coal Links
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In a major development, the Enforcement Directorate (ED) has identified the Shakambhari Group, a prominent industrial conglomerate in West Bengal, as a key player in a multi-crore coal smuggling racket linked to Eastern Coalfields Limited (ECL) areas. The ED launched searches at six locations in West Bengal and four in Delhi, targeting premises involved in the generation, movement, and laundering of proceeds from the illicit coal trade. The agency found that a significant portion of the coal extracted from ECL leasehold areas was sold to manufacturing units operated by the Shakambhari Group, with factories in Bankura, Purulia, and Bardhaman being the primary recipients. The ED's investigation, which began with a Central Bureau of Investigation (CBI) FIR in 2020 against suspected coal smuggling kingpin Anup Majee and others, has uncovered a complex money-laundering mechanism involving hawala operators. According to the ED, one such operator facilitated transactions worth 'tens of crores of rupees' to Indian PAC Consulting Private Limited. The Shakambhari Group, headed by chairman and managing director Deepak Kumar Agarwal, is one of the largest integrated steel manufacturers in West Bengal. The group operates multiple sponge iron, steel, and power units and markets products under brands such as 'Thermocon' and 'Elegant'. The ED has raised concerns about the group's procurement practices, alleging that illegally mined coal formed a crucial input for several of its sponge iron and power plants. The agency has also accused the group of using a layered money-laundering mechanism to route the proceeds of the crime. The searches at the residence of I-PAC director Pratik Jain in Kolkata sparked a political row, with Chief Minister Mamata Banerjee visiting his residence and office during the raids. The ED rejected Banerjee's allegations of politically motivated searches, stating that her visits amounted to obstruction of an investigation under the Prevention of Money Laundering Act.
