The Directorate of Enforcement (ED) has conducted searches at 20 locations across Assam, Mizoram, West Bengal and Uttar Pradesh in connection with an alleged organised syndicate involved in smuggling foreign-origin areca nuts from Myanmar and laundering the proceeds of crime.

The searches were carried out by the ED’s Guwahati Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002.

The agency said the investigation stems from multiple FIRs registered in Assam under provisions of the Indian Penal Code and the Customs Act relating to illegal areca nut smuggling and customs duty evasion.

It added that the probe is based on findings of the Directorate of Revenue Intelligence (DRI), which had earlier seized over 655 metric tonnes of areca nuts along with vehicles used for their transportation.

According to the ED, the investigation has uncovered a well-organised network involving suppliers in Mizoram, facilitators in Assam, financiers and consignees in West Bengal and Uttar Pradesh, along with logistics operators.

The agency alleged that the syndicate smuggled foreign-origin areca nuts from Myanmar through the Champhai-Zokhawthar route and used forged GST invoices, fake firms and fabricated transport documents to disguise the illegal consignments.

The ED said a financial investigation indicates that proceeds of crime exceeding one thousand five hundred crore rupees were generated and laundered through shell entities and intermediary bank accounts.

During the searches, the agency seized incriminating documents, electronic devices and unexplained cash amounting to one crore 30 lakh rupees.

It also froze 33 bank accounts linked to the alleged syndicate. The ED said the investigation found that the proceeds of crime were invested in real estate across several cities.