New Delhi: The Enforcement Directorate (ED) had arrested Amit Katyal, a businessman and a close associate of RJD chief Lalu Prasad Yadav, in the alleged land for job scam case in November 2023. The ED has alleged that Amit Katyal, in collusion with Lalu Prasad Yadav, conspired to set up a company in ROC Delhi and buy land parcels in Bihar from job aspirants, when Lalu Prasad Yadav was the Railways Minister at the Centre. The ED has said that Amit Katyal was summoned by the central probe agency for interrogation, but he had been trying to evade it for nearly two months.

The ED has said Amit Katyal knowingly helped Lalu Prasad Yadav and his family members in the process or activity related to the proceeds of crime–by acquiring, concealing and projecting the proceeds of crime as legitimate. “In doing so, he hid the proceeds of crime from their true source.

While doing so, he deliberately and knowingly showed the receipt of Proceeds of Crime as a lawful transaction by keeping the shareholding of AK Infosystems Pvt Ltd with himself to hide the illegal gratification and later on transferring it to Tejashwi Yadav and Rabri Devi,” the ED says.

Amit Katyal protected the real beneficiary of the PoC and then, while transferring the PoC to its real beneficiary, showed the transaction as a normal business transaction, thus committing the offence of money laundering, the ED said.

Who Is Amit Katyal?

Amit Katyal is a businessman who has a close relationship with the Lalu family. He was a former director of A K Infosystems Private Limited, a “beneficiary company” in the land for job scam case. Its registered office is a residential building in New Friends Colony, South Delhi, which is currently being used by Tejashwi Yadav as his residence. Amit Katyal is the same businessman who had set up a beer factory in Patna Bihta during Rabri Devi’s government.

Later, he formed a company named A K Infosystems in his name. The ED alleges that this company acquired huge properties in its name, after which the Lalu family became the owner of this company. Katyal’s properties worth crores were transferred to Tejashwi’s name.

At present, all the shares of A K Infosystems company are with Rabri Devi and Tejashwi Yadav. This company only deals in land. A K Infosystems has 21 plots of 221 decimals. Two firms, namely AK Infosystem and AB Export, have also been accused in this case.

The ED had submitted that in 2006-07, A K Infosystem was formed by Amit Katyal and its business was IT data analysis. No real business was done. Instead, several land parcels were bought by the company. One land parcel relates to the main predicate offence, which is land for a job.

What Is The Land For Job Scam?

The land for job scam is a case of alleged corruption and money laundering by Lalu Prasad Yadav and his family members, when he was the railway minister. The scam involves giving jobs in the railways to some people in exchange for land parcels in Bihar at very low rates. The land parcels were registered in the name of A K Infosystems Private Limited, a company owned by Amit Katyal.

The CBI and the ED have alleged that Lalu Prasad Yadav and his family members acquired huge properties through this illegal deal and later transferred them to Tejashwi Yadav and Rabri Devi. The CBI and the ED have seized several properties and bank accounts related to the scam. The CBI has filed a charge sheet against former railway minister Lalu Prasad Yadav, former Bihar CM Rabri Devi and Bihar deputy CM Tejashwi Yadav in the scam. The ED has also accused them of money laundering of Rs 600 crore.