Balganga Dam Project: Accused diverted funds to dummy companies, say police

“As soon as the sanctioned funds of Rs 494 crore were debited to Khatri’s account, he issued a series of cheques to various firms, claiming that he was paying the firms for work related to the project. However, while making inquiries into the matter, we found that these were actually dummy companies owned by the Khatri family. Khatri also withdrew some part of the money himself,” said an ACB officer.

The officer added that during a search of Khatri’s residence Tuesday evening, some documents were found that supported the ACB’s theory about the diversion of money and also indicated that the funds were not used on the project at all.

“We are now preparing a detailed report of the work done on the project so far, and getting an evaluation of the cost incurred while doing it, so that we can compare this figure with the amount of money diverted by Khatri in the name of project-related expenses. This comparison will throw clarity on this aspect of the case,” said the officer.

The ACB is also trying to find more documents pertaining to the project that might help its case, and is interrogating Khatri to this end. Officials said Rithe, too, was arrested after some incriminating documents were found at his residence Tuesday.

Superintendent of Police, Thane ACB, Dattatry Karale refused to give details about the investigation. “Both the arrested accused were produced in court Wednesday and have been remanded in our custody for seven days. I cannot talk about the investigation in detail,” he said.
Dare BJP to audit BMC: Tatkare

Nationalist Congress Party’s Maharashtra chief Sunil Tatkare, a former minister who is facing a probe in the multi-crore irrigation scam, Wednesday dared the Devendra Fadnavis government to constitute an audit on the functioning of the Shiv Sena-controlled Brihanmumbai Municipal Corporation. “You (the BJP) constitute a probe against us, show the courage to audit BMC works too,” Tatkare said, in an attempt to exploit the wedge between the BJP and ally Sena. With the NCP keen to regain lost ground in Mumbai, where the party’s base has weakened considerably, Tatkare also asked party workers to start preparations for Mumbai civic elections.