Crime

Gujarat Minister’s Second Son Held in Rs 75 Crore MGNREGA Scam; 10 Arrested So Far

The FIR, filed on April 24, outlines how contracts were given to firms that had not submitted the lowest or winning bids.

Gujarat Minister’s Second Son Held in Rs 75 Crore MGNREGA Scam; 10 Arrested So Far

Gujarat Minister Bachubhai Khabad. Photo: X/@bachubhaikhabad

The Dahod district police on Monday (May 19) arrested Kiran Khabad, the younger son of Gujarat Minister Bachubhai Khabad, in connection with a massive Rs 75 crore scam under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

The alleged irregularities occurred in the Devgadh Baria and Dhanpur talukas of Dahod district.

Kiran’s arrest follows the detention of his elder brother, Balvantsinh Khabad, who was taken into custody two days earlier.

Police also arrested three other individuals on Monday: Rasik Rathwa, currently the Deputy District Development Officer (DDO) of Dahod and formerly the Taluka Development Officer (TDO) of Dhanpur; Dilip Chauhan, a former Assistant Programme Officer (APO) under MGNREGA; and Pratik Baria, another functionary associated with the scheme. With these arrests, the total number of people held in the case has risen to ten, The Indian Express reported.

Kiran, who had gone into hiding after withdrawing a joint anticipatory bail plea with his brother last week, was apprehended on the Vadodara-Halol highway in the early hours of Monday.

According to Jagdishsinh Bhandari, Deputy Superintendent of Police in Dahod, Kiran has been taken into custody for his alleged role in the scam, which is said to have involved embezzlement and procedural violations in the execution of MGNREGA projects.
Police investigations suggest the accused engaged in financial misconduct between January 2021 and December 2024. Preliminary questioning of the newly arrested individuals has been conducted, and they are expected to be produced before a magistrate on Tuesday.

Kiran and Balvantsinh are accused of operating agencies that allegedly supplied raw materials for MGNREGA road construction projects in remote tribal areas.

Officials claim that in Devgadh Baria taluka, 28 unauthorized agencies were awarded contracts amounting to Rs 60.90 crore, while in Dhanpur, seven such agencies received Rs 10.10 crore — all without following the mandated tendering process. Among the entities under scrutiny are Raj Traders and NL Traders, allegedly run by the Khabad brothers.

The first information report (FIR), filed on April 24 based on a complaint by B.M. Patel, Director of the District Rural Development Agency (DRDA), outlines how contracts were given to firms that had not submitted the lowest or winning bids. These contracts were approved through procedural manipulation, and payments were allegedly made for projects that existed only on paper.

In Kuva village of Devgadh Baria, local residents flagged the irregularities, prompting official inquiry.

Earlier, seven others were arrested in connection with the case: Balvantsinh Khabad; Darshan Patel, former TDO of Devgadh Baria; MGNREGA accountants Jayveer Nagori and Mahipalsinh Chauhan; Gram Rojgar Sevaks Kuldeep Baria and Mangalsinh Pateliya; and technical assistant Manish Patel.

The Congress party, which had formed a fact-finding committee earlier this year to probe the alleged scam, has renewed its demand for the formation of a Special Investigation Team (SIT) to ensure an impartial and thorough inquiry.

Minister Bachubhai Khabad, who holds the Panchayat and Agriculture portfolios in the Gujarat government, remained unavailable for comment.

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