The Enforcement Directorate (ED) has searched 21 premises connected to Karnataka PWD Minister Satish Jarkiholi, his family and several close associates in a case involving suspected foreign investment violations, cross-border business transactions and financial irregularities.
ED, Bengaluru conducted searches at 21 premises linked to Karnataka Public Works Minister Satish Jarkiholi & associates at Bengaluru, Belagavi, Gokak, & Kolkata on 09.09.2026 to 10.09.2026 under FEMA, 1999 & seized unaccounted cash of Rs 3.3 Cr, & foreign currency of Rs 15 Lakh. pic.twitter.com/RfPbuISA4F
— ED (@dir_ed) September 11, 2026
The searches took place on 9th and 10th September across Bengaluru, Belagavi, Gokak and Kolkata under the Foreign Exchange Management Act (FEMA). The agency said it seized unaccounted Indian and foreign currency worth about Rs 3.45 crore.
Family members’ foreign mining links examined
The ED said its investigation has brought several overseas mining companies connected to the Jarkiholi family under scrutiny. It said Priyanka Jarkiholi, Rahul Jarkiholi and Mahadevi Manjunath had shares in Eldorado Mining Resources in Congo and Nava Aurum Mining Ltd in Zambia.
The agency also said Satish Jarkiholi owned nearly 40 % of Magnitude Star SARL, a gold-mining company based in Congo.
During the searches, officials found documents relating to other foreign companies with mining interests in Africa. The ED is examining the investments, the source of the funds and how the money was transferred.
The agency said it also found evidence that large cash investments and expenses were made in a Congo-based entity through unauthorised channels.
PWD tender money also part of probe
Another focus of the searches was Bharat Vanijya Eastern Private Limited (BVEPL). The ED said the company paid a large bribe to obtain a PWD tender and that the money was later used to buy foreign assets.
The company’s offices and the homes of its owners were searched, with officials taking away documents and digital material linked to the transactions.
The ED said it also found documents and electronic devices pointing to irregularities in the PWD and the collection of bribes from contractors. Some of the money was said to have moved through companies and bank accounts connected to influential people, including Jarkiholi’s brother-in-law YD Manjunath.
Who else came under the ED scanner?
Apart from the Jarkiholi family, the searches covered properties linked to YD Manjunath, the Additional Excise Commissioner, Enforcement and Crime, Belagavi.
The agency also searched premises connected with Jarkiholi’s Officer on Special Duty (OSD) and personal assistant Malagouda Patil, as well as Raju Daragshetti, Vittal Parasannavar and Dr Girish Sonwalkar.
Searches were carried out at several locations, including Jarkiholi’s residence in Gokak, his house in Dollars Colony, Bengaluru, his office-cum-residence on Crescent Road and properties in Belagavi.
ED reports recovery of Rs 3.45 crore
The agency said it recovered Rs 3.3 crore in unaccounted Indian currency during the operation. US dollars and euros worth around Rs 15 lakh were also seized.
Financial records, digital devices and documents related to foreign companies, PWD contracts and financial transactions were taken into custody for further examination.
The ED’s investigation will now look more closely at the Jarkiholi family’s foreign shareholdings, overseas investments, sources of funds and transactions connected with PWD tenders. Further action will depend on the documents and other material recovered during the searches and the replies submitted by the people under investigation.
