The Jharkhand High Court has rejected the bail plea of former Rural Development Minister Alamgir Alam, who is under arrest in a major money laundering case linked to a corruption scandal involving over ₹56 crores in alleged proceeds of crime.
The bench of Justice Sujit Narayan Prasad denied Alam’s petition filed under Section 45 of the Prevention of Money Laundering Act (PMLA), read with Sections 439 and 440 of CrPC, citing his “direct involvement” in the concealment and possession of illicit funds acquired through a complex network of bribes, shell accounts, and middlemen.
The money laundering case stems from a 2019 FIR by the Anti-Corruption Bureau (ACB), Jamshedpur, initially involving engineers Suresh Prasad Verma and Alok Ranjan. Investigations revealed a broader scam involving fake bank accounts, shell companies, and extensive bribe networks across state departments.
So far, the ED has filed multiple prosecution complaints and supplementary complaints in the case, implicating over a dozen individuals, including high-ranking officials and intermediaries.
According to the Enforcement Directorate (ED), Alam was at the apex of a “syndicate of commission collection” during his tenure as Minister of Rural Works Department (RWD), Jharkhand. It is alleged that Alam’s private secretary, Sanjeev Kumar Lal, routinely collected 1.35% of contract amounts from engineers and contractors on Alam’s behalf.
ED stated that over ₹53 crores were collected as illegal commission, of which ₹35 crores were seized during search operations in May 2024. These amounts were allegedly routed through several associates, including Jahangir Alam and Munna Singh, using shell accounts and forged documents. Alam is also accused of acquiring an additional ₹3 crores from former Chief Engineer Veerendra Kumar Ram through similar channels.
The ED opposed the bail on multiple grounds, arguing that Alam was “directly and knowingly” involved in laundering the proceeds of crime. It emphasized that the offence under Section 3 of the PMLA is a “continuing offence” and that even if the predicate offences predated Alam’s ministerial tenure, the laundering activity continued while he was in office.
The agency further pointed to corroborative statements from engineers and accused individuals recorded under Section 50 of PMLA, and to the recovery of over ₹32 crores from a close associate, Jahangir Alam, as strong prima facie evidence.
Senior Advocate S. Nagamuthu, appearing for Alam, argued that his client was being falsely implicated and that no money was ever directly recovered from Alam or traced to his personal accounts. He emphasized that Alam became a minister only in December 2019, while the predicate offence dates back to November 2019. Alam’s counsel argued that many accused have already been granted bail, including former Chief Engineer Veerendra Kumar Ram and others, and sought parity.
Additionally, the defense cited Alam’s age (74 years) and health conditions as grounds for leniency, stressing that he had cooperated with the investigation and had already spent 13 months in custody.
The Court, however, rejected these arguments. It held that the collection and routing of illicit commissions continued well into Alam’s tenure and that evidence, including witness testimonies and seizure of cash, supported the charge of his active involvement. The court said that under Section 45 of PMLA, twin conditions must be met for bail — the court must be satisfied that the accused is not guilty and that he will not commit further offences. These conditions, the judge ruled, were not satisfied.
The court also declined to accept the plea for medical bail, noting that no critical or life-threatening condition had been demonstrated.
Case Details
Case Title: Alamgir Alam Versus ED
Case No.: B.A. No. 9548 of 2024
Date: 11/07/2025
Counsel For Applicant: S. Nagamuthu, Sr. Advocate
Counsel For Respondent: Zohab Hossain, Advocate
