New Delhi, Sep 5: The Enforcement Directorate (ED) on Thursday said it has arrested a retired official of the Karnataka Industrial Area Development Board (KIADB) and a land broker as part of a money-laundering probe linked to an alleged fraudulent disbursal of compensation worth Rs 72 crore.

Vasantkumar Durgappa Sajjan, a retired special land acquisition officer of the KIADB, and Maibub Allabuksh Dundasi were taken into custody on Tuesday under the provisions of the Prevention of Money Laundering Act (PMLA), the ED said in a statement.

The KIADB is the nodal agency for land acquisition in Karnataka.

The money-laundering case stems from an FIR and a chargesheet filed by the Dharwad district CID, alleging that Sajjan and some other officials of the KIADB, Dharwad "conspired" with land brokers and some other accused and sanctioned an amount of Rs 19.99 crore to seven individuals on the pretext of compensation for land acquisition.

"However, these individuals had been paid compensation previously. This caused loss to the government exchequer," the federal agency said.

The ED found out that money was withdrawn "fraudulently" from the KIADB as compensation for land acquisition during 2021-22. However, compensation to the original land sellers was paid in 2010-12, the probe found.

It was found that the fraudulently-withdrawn money was transferred into bank accounts opened with fake identity and address proofs, the agency claimed.

"The actual fraudulent payments exceeded the FIR amount, reaching approximately Rs 72 crore.

"These payments were made to bank accounts opened with fake identities and then laundered through shell accounts. The funds were used to acquire immovable properties, vehicles, residential properties and fixed deposits," the ED said.

Searches were conducted by the agency in the case at a dozen locations across Karnataka last month.

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Sehore (PTI): Around 11,000 litres of milk were poured into Narmada river, often called the lifeline of Madhya Pradesh, in Sehore district on the culmination of a 21-day religious event as part of a sanctification ritual, prompting environmentalists to flag its negative impact on the ecosystem.

The event concluded at Satdev village in Bherunda area, located about 90 km from the district headquarters, with a 'mahayagna' on Wednesday.

The milk was offered to the river as part of rituals and prayers for the purity of the waters, the well-being of pilgrims and prosperity, organisers said.

The milk was brought in tankers to the riverbank and later poured into the flowing water amid chanting of mantras in the presence of a crowd of devotees.

However, environmentalists raised concerns over the practice, warning of its potential ecological impact.

"Such large quantities of organic matter can deplete dissolved oxygen in water, adversely affecting the river ecosystem. These impact local communities dependent on the river for drinking water and threaten aquatic life as well as domestic animals," noted environmentalist and wildlife activist Ajay Dube said.

Religious offerings should be symbolic and mindful, he asserted.

Renowned environmentalist Subhash Pandey said 11,000 litres of milk acts as a significant organic pollutant.

"It is highly oxygen-demanding and can lead to oxygen depletion, aquatic mortality, eutrophication (process of plants growing on river surface) and loss of potability. These effects are predictable from dairy-effluent chemistry and have been documented in similar incidents worldwide," Pandey pointed out.

Narmada originates at Amarkantak in the state and traverses 1,312 km westward to Maharashtra and Gujarat, emptying into the Arabian Sea via the Gulf of Cambay.

It is the largest west-flowing river in the peninsula, passing through a rift valley, and acts as a crucial water source for irrigation in MP, Gujarat and Maharashtra.