According to officials, the ED carried out simultaneous searches at nine locations associated with businessmen, land agents and individuals suspected of facilitating fraudulent compensation claims. During the operation, investigators seized cash, laptops, mobile phones, pen drives and a large number of documents related to land records and financial transactions. The agency said the evidence points to systematic manipulation of revenue records to inflate compensation amounts.

The case stems from an FIR registered earlier by the Anti-Corruption Bureau (ACB) and Economic Offences Wing (EOW) in Raipur. The FIR names several government officials, including former Sub-Divisional Officer (Revenue) Nirbhay Sahu, along with private individuals, under provisions of the Prevention of Corruption Act and the Indian Penal Code.

Investigators allege that officials and land agents colluded to backdate land demarcation and partition records. Large land parcels earmarked for acquisition under the Bharatmala project were allegedly split on paper into smaller portions in the names of multiple family members, with false dates shown to precede the acquisition process. This enabled approval of separate compensation claims for each share, leading to inflated payouts running into crores of rupees.

ED officials said the scam involved deliberate tampering with revenue entries, mutations and ownership records to misuse the compensation policy. The agency has identified several movable and immovable properties suspected to have been acquired using proceeds of crime, which may be attached after due legal process.

Among those under scrutiny is Harmeet Singh Khanuja, described by investigators as a key land agent linked to the Raipur–Visakhapatnam corridor compensation case. He was earlier arrested by the EOW in April 2025. The ED is also examining the role of his associates, family members and certain government officials involved in valuation, approval and disbursement of compensation.

Sources said the alleged fraud relates to a compensation scam estimated at over ₹43 crore. In some stretches, land valued at around ₹29 crore was allegedly shown as worth more than ₹70 crore through artificial fragmentation and addition of new names in records. Payments worth ₹78 crore have reportedly been flagged, with a portion already disbursed before irregularities came to light.

The ED said the investigation is at a preliminary stage and more searches and summons are likely. Officials indicated that further arrests cannot be ruled out as the money trail is traced and digital evidence is analysed. The case has raised serious questions about oversight in land acquisition for large infrastructure projects.