Enforcement Directorate arrested Chandigarh jeweller Rajan Singh Katodiah following intensive money laundering investigations conducted by the Chandigarh Zonal Office. Specifically, the Special PMLA Court in Panchkula granted the Enforcement Directorate a four-day custody of Katodiah on October 22, 2026. Furthermore, the accused operates as the active managing partner of M/s Sawan Jewellers in the Sector 35-C Inner Market, Chandigarh.
Criminal conspiracy and money laundering operations
Investigators revealed that Katodiah allegedly conspired with prime accused Ribhav Rishi and others to misappropriate government funds. Consequently, these embezzled amounts belonged to various departments of the Haryana Government and the Chandigarh Administration.
Additionally, forensic bank account analysis showed that Sawan Jewellers received approximately ₹332 crore between November 2024 and February 2026. Meanwhile, these suspicious funds flowed through shell entities, intermediary firms, and associates, including Divya Arora, wife of Ribhav Rishi.
| Investigation Parameter | Enforcement Directorate (ED) Findings |
| Arrested Individual | Rajan Singh Katodiah (Partner, M/s Sawan Jewellers) |
| Judicial Custody Granted | 4 days by Special PMLA Court, Panchkula |
| Total Funds Received | Approximately ₹332 crore through shell entities |
| Mastermind Linked | Ribhav Rishi (Prime accused in bank fraud) |
| Total Assets Attached | ₹225 crore in movable and immovable properties |
Layering proceeds of crime and bullion purchases
The accused allegedly helped Ribhav Rishi conceal crime proceeds by projecting them as untainted business revenue. Consequently, Sawan Jewellers utilized these illicit funds for routine commercial activities and day-to-day operations.
Moreover, the jeweller’s bullion purchases surged dramatically immediately after partnering with the primary fraud mastermind. Therefore, as the ED arrests Chandigarh jeweller in connection with the ₹645 crore IDFC First Bank and AU Small Finance Bank scam, total asset attachments stand at ₹225 crore alongside a prosecution complaint against 14 accused entities.
