ED arrests imposter for attempting to influence PMLA probe, auction process
HYDERABAD: The Directorate of Enforcement (ED), Hyderabad Zonal Office, has arrested Kalyan Banerjee for impersonation and attempts to interfere with the agency’s functioning in an ongoing investigation under the Prevention of Money Laundering Act (PMLA), 2002. He was arrested on January 10, 2026, following a search at his Secunderabad premises.
Probe linked to ₹5,978 crore investment fraud
The ED is investigating a money laundering case against Nowhera Shaik and others based on multiple FIRs registered by police across several states. Police investigations revealed that the accused collected investments exceeding ₹5,978 crore from the public by promising annual returns of over 36%, but failed to return even the principal amounts.
The ED found that part of the proceeds of crime was used to acquire immovable properties in the names of Nowhera Shaik, her companies and relatives. Assets worth about ₹428 crore have been attached so far. Prosecution and supplementary prosecution complaints have been filed before the Special PMLA Court in Hyderabad.
Courts clear auctions, costs imposed
With court approvals, the ED initiated auctions of confirmed attached properties through MSTC to restore funds to victims. According to the agency, Nowhera Shaik repeatedly sought to stall the process before the Supreme Court and the Telangana High Court. A petition filed to stop the auction conducted on January 5, 2026, was dismissed by the High Court, which imposed exemplary costs of ₹5 crore, directing the amount to be deposited in the Prime Minister’s relief fund.
Impersonation, threats to officers alleged
The ED said that after failing to secure legal relief, Nowhera Shaik engaged Kalyan Banerjee on a monthly remuneration and commission basis. Banerjee allegedly contacted ED officers, falsely claiming proximity to senior bureaucrats and politicians, and attempted to influence the auction process. When advised to follow due process, he allegedly issued threats to pressure officials to halt the auctions.
Intelligence inputs indicated that Banerjee was an imposter posing as a consultant to various departments. He was found to have provided incomplete address details for his mobile SIM card KYC. A search under Section 17 of the PMLA led to the seizure of mobile phones containing WhatsApp chats with Nowhera Shaik and her associates, the ED said.
Remanded to judicial custody
The agency said the chats indicated attempts to manipulate investigation and judicial proceedings, efforts to alienate attached properties and plans to earn commissions from illegal deals. In statements recorded under the PMLA, Banerjee admitted to impersonation and said he acted on the directions of Nowhera Shaik and her associates.
Banerjee was produced before the Special PMLA Court at Nampally on January 11, 2026, and remanded to judicial custody till January 23, 2026. The ED said further investigation is under progress and warned that any attempt to interfere with its probes would be dealt with firmly under law.
