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Bengaluru, September 11, 2026 (Yes Punjab News)
The Enforcement Directorate (ED) on Friday said it had uncovered alleged overseas investments and financial irregularities linked to Karnataka Public Works Department (PWD) Minister Satish Jarkiholi, including his nearly 40 per cent stake in a Congo-based gold mining company.
The agency conducted searches at 21 premises linked to Jarkiholi and his close aides on September 9 and 10 as part of an investigation into alleged undisclosed overseas investments, cross-border business links and financial irregularities under the Foreign Exchange Management Act (FEMA).
According to the ED, Jarkiholi holds nearly 40 per cent in Magnitude Star SARL, a gold mining company based in Congo. Documents concerning several other foreign entities with mining assets in Africa were also recovered during the searches.
The searches covered locations in Bengaluru, Belagavi, Gokak and Kolkata. Premises linked to Chikkodi MP and Jarkiholi's daughter Priyanka Jarkiholi, his son Rahul Jarkiholi and his brother-in-law YD Manjunath were among those searched.
The agency also searched properties linked to several of the minister's aides, including his Officer on Special Duty and Personal Assistant Malagouda Patil, Raju Daragshetti, Vittal Parasannavar and Girish Sonwalkar.
The offices and residences of officials and owners associated with Bharat Vanijya Eastern Private Ltd (BVEPL) were also searched. The ED alleged that the company had paid a substantial bribe to secure a PWD tender and that the money was subsequently used to acquire foreign assets.
The agency said its investigation had also identified overseas shareholdings acquired by members of the Jarkiholi family, including Priyanka Jarkiholi, Rahul Jarkiholi and Mahadevi Manjunath, wife of YD Manjunath. These investments allegedly include stakes in Eldorado Mining Resources in Congo and Nava Aurum Mining Ltd in Zambia.
Searches were carried out at Jarkiholi's residences in Gokak and Bengaluru's Dollars Colony, as well as his office-cum-residence on Crescent Road. Properties in Gokak and Belagavi were also covered.
During the operation, the ED said it seized Rs 3.3 crore in unaccounted Indian currency and foreign currencies, including US dollars and euros, worth around Rs 15 lakh.
The agency said evidence gathered during the searches indicated that substantial cash investments and expenses had allegedly been made through unauthorized channels in an entity in Congo, raising suspected violations of FEMA provisions.
The searches also allegedly yielded documents and digital devices containing information about the collection of bribes from PWD contractors, including BVEPL. The ED said such evidence was found in entities and accounts linked to several influential persons, including an entity allegedly controlled and managed by YD Manjunath.
The agency said the searches were aimed at tracing the alleged movement of funds between domestic entities and overseas assets and examining possible violations of foreign exchange regulations.
Further investigation into the alleged overseas investments, PWD-related financial irregularities, suspected bribe payments and FEMA violations is underway, the ED said.