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Gujarat Minister’s Sons Arrested in ₹71 Crore MGNREGA Fraud Investigation

Both sons of Minister Bachubhai Khabad, along with nine others, have been detained for allegedly siphoning funds meant for tribal employment through forged documents and fake projects.

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Overview

  • Kiran Khabad, the younger son of Gujarat Minister Bachubhai Khabad, was arrested on May 19, two days after his elder brother Balvant Khabad was taken into custody.
  • The fraud, involving 35 agency owners and government officials, allegedly siphoned ₹71 crore from MGNREGA funds between 2021 and 2024 using fake work completion certificates and invoices.
  • The arrested individuals, including district development officials, face charges of cheating, forgery, breach of trust, and criminal conspiracy as per the FIR filed in April 2025.
  • The state government has initiated a Lokpal committee investigation, while opposition leaders are demanding a Special Investigation Team (SIT) to probe deeper into the case.
  • The scam has highlighted systemic corruption in welfare schemes, with funds intended for tribal employment in Dahod district diverted to unauthorized firms linked to the accused.