ED Raids Premises Linked to Karnataka Home Minister in Gold Smuggling Case

22 May, 2025

The Enforcement Directorate (ED) is conducting ongoing raids at premises associated with Karnataka's Home Minister as part of a probe into a significant gold smuggling case. The ED initiated a Prevention of Money Laundering Act (PMLA) case based on complaints from the CBI and Directorate of Revenue Intelligence (DRI) regarding a larger gold smuggling racket. These raids signify a major development in the investigation into illicit gold trafficking potentially involving high-profile political figures.

Unpacked:

Who is Ranya Rao, and what is her alleged role in the gold smuggling case?

Ranya Rao is a Kannada actress alleged to have acted as an intermediary in the gold smuggling racket. According to investigations, she facilitated the procurement and sale of smuggled gold to jewellers across Karnataka and received substantial sums through suspicious business transactions, which are believed to be part of a broader money laundering operation.

What is the connection between Karnataka's Home Minister and the gold smuggling probe?

The Enforcement Directorate raided a medical college linked to Home Minister G Parameshwara after discovering a suspicious ₹40 lakh payment from his educational trust to Ranya Rao, the main accused. This financial link led investigators to examine whether the trust was involved in laundering proceeds from gold smuggling.

How extensive is the gold smuggling network under investigation?

The probe has uncovered a complex network involving hawala operators, shell companies, multiple educational trusts, and jewellers. The ED conducted coordinated raids at 16 locations across Karnataka, indicating the network’s significant scale and suggesting extensive financial layering and fictitious business transactions to mask illicit gold movements.

What has the Home Minister said in response to the Enforcement Directorate’s actions?

Karnataka Home Minister G Parameshwara has stated that he will cooperate fully with the Enforcement Directorate’s investigation and has emphasized allowing the probe to be completed before drawing conclusions about any alleged involvement.