ED gets 10-day custody of I-PAC director Chandel; TMC demands ‘immediate release’

Kolkata: The Trinamool Congress (TMC) on Tuesday demanded the immediate and unconditional release of Vinesh Chandel, the co-founder and director of I-PAC, who has been sent to 10 days of Enforcement Directorate (ED) custody in an alleged money laundering scam.

The ED has also summoned the brother and wife of Pratik Jain, another co-founder of the consulting firm, in connection with the case, linked to alleged hawala transactions.

Chandel was arrested on Monday under the Prevention of Money Laundering Act (PMLA), 2002, by the ED’s Headquarters Investigation Unit in Delhi and produced before a court the same night. After a hearing that continued into the early hours of April 14, Additional Sessions Judge Shefali Barnala Tandon of Patiala House Courts granted 10 days’ ED custody.

The ED said its probe has revealed that I-PAC was involved in laundering proceeds of crime amounting to multiple crores, with around Rs 50 crore detected so far. It is alleged that Chandel was directly involved in the generation, concealment, possession and use of these funds.

The case stems from an FIR registered by Delhi Police under Sections 420, 477A and 120B of the IPC, relating to alleged cheating, falsification of accounts and criminal conspiracy.

According to the agency, I-PAC, through its directors and associates, operated a structured mechanism to generate and launder illicit funds. Chandel, identified as founder, director and 33% shareholder, allegedly exercised control over financial and operational decisions.

Investigators have cited multiple methods of laundering, including handling unaccounted funds, mixing accounted and unaccounted money, unsecured loans lacking business credentials, issuance of bogus invoices and routing funds through third-party entities.

A key modus operandi involved splitting receipts between formal banking channels and cash components, with a portion routed through banks and the rest handled via cash and hawala networks, including international channels. The ED told the court that such funds were used for election-related expenditure and other purposes, including influencing public perception.

The agency flagged unsecured loans of about Rs 13.50 crore received from Ramasethu Infrastructure Pvt Ltd during 2019–20 and 2020–21, allegedly without collateral, documentation or repayment terms. Statements of company officials indicated these transactions lacked commercial substance and were designed to introduce unaccounted funds into the company’s books. The ED further alleged that after search operations, Chandel and others deleted emails and sensitive financial data of key employees and made false statements under PMLA provisions to mislead the investigation.

Arguing for custody, the agency cited the risk of evidence tampering and witness influence, as well as Chandel’s international travel history.

The defence opposed the remand, calling the proceedings politically motivated and arguing that the allegations were essentially tax-related and did not constitute a scheduled offence under PMLA. It also maintained that the accused had cooperated with investigators. The court held that custodial interrogation was necessary at this stage to trace the money trail, uncover the scope of alleged laundering and prevent destruction of evidence, and granted 10 days’ ED custody.

The ED has summoned Barbie Jain and Pulkit Jain, the wife and brother of Pratik Jain, for questioning at its Delhi headquarters on Wednesday. Their business links are under scrutiny. Pratik Jain has also been summoned and has approached the Delhi High Court, challenging the notice.

Meanwhile, while addressing a Press conference in Kolkata on Tuesday, TMC leaders Derek O’Brien and Chandrima Bhattacharya claimed that the recent actions by the ED are not driven by law enforcement objectives but are instead aimed at influencing the electoral process. The party argued that the timing of the agency’s moves raises serious questions about its intent, especially with elections drawing near.

According to TMC, Central agencies like the ED are being deployed as tools to target Opposition voices and create a climate of fear. The leaders further alleged that such actions reflect a pattern of political vendetta by the ruling dispensation at the Centre, rather than genuine investigative efforts. O’Brien also demanded that the Central agencies be stopped from conducting such “undemocratic, unwarranted action for political reasons” when elections are around the corner. Bengal will go to the polls on April 23 and 29, and the counting will take place on May 4.

The party also pointed out that the ED, which is tasked with probing financial crimes under laws such as the Prevention of Money Laundering Act, has often found itself at the centre of political controversies over alleged misuse.