KPSC 'scam' case: ED raids IAS officer Gangwar's premises in Karnataka, UP

Bengaluru/New Delhi, The Enforcement Directorate on Sunday raided the premises of IAS officer Gyanendra Kumar Gangwar in Bengaluru and Bareilly in connection with its money laundering investigation linked to alleged irregularities in an exam conducted by the Karnataka Public Service Commission (KPSC), officials said.

Gangwar is a 2016-batch Indian Administrative Service (IAS) officer and is currently posted as Director-MSME in the Karnataka Department of Industries and Commerce.

He earlier served as the Controller of Examinations at the KPSC and was replaced in March this year.


Officials said Gangwar's premises in Bengaluru's Jayamahal area and Uttar Pradesh's Bareilly were searched under the Prevention of Money Laundering Act (PMLA).

It was not immediately known if the officer was found on the premises by the central agency.

A controversy erupted on Saturday after Gangwar was reported "missing" for a few hours. Later, Karnataka Home Minister Priyank Kharge denied the reports and clarified that Gangwar was in his native place in Uttar Pradesh following a family emergency involving his father's health.

Kharge said reports that Gangwar had gone missing and that his absence was linked to the ED searches at the KPSC were untrue. He said he had personally spoken to the officer, who would return soon.

"Circumstances might have led to such conclusions, but nothing of that sort happened," he said.

"While the circumstances might suggest a link to the KPSC, he (Gangwar) has very clearly said that he is open to an inquiry by any agency as a government servant. There are no allegations against him currently, and no one has filed an application seeking an inquiry against him; let this be very clear," Kharge told reporters on Saturday.

The ED, on August 18, conducted the first round of searches in this case at the KPSC head office in Bengaluru apart from those of former Chairman Shivashankarappa S Sahukar, Member Shanta Hosmani and some others.

The probe is linked to a money laundering investigation into a Veterinary Officers recruitment exam 'scam'.

It is alleged by the ED that some middlemen called the candidates, including the complainant, and demanded bribes ranging from Rs 70 lakh to Rs 80 lakh (per candidate) for selection.

Additionally, the agency is looking into allegations of paper leak, OMR answer sheet tampering and facilitation in final selection of relatives of KPSC officials, ED officials had said.

Last week, the Karnataka Cabinet decided to recommend to Governor Thaawarchand Gehlot the suspension of Sahukar.

The decision came after the Karnataka High Court quashed Sahukar's earlier suspension and directed his reinstatement, while leaving open the possibility of fresh proceedings if the prescribed constitutional procedure is followed.