ED provisionally attaches immovable properties worth Rs. 3.30 Crore in Lada–Sarli Frontier Highway Project case
The Enforcement Directorate’s Itanagar Sub-Zonal Office has provisionally attached three immovable properties valued at approximately 3.30 crore rupees in connection with alleged irregularities in the assessment and disbursement of land acquisition compensation for the Lada–Sarli stretch of the Frontier Highway in Arunachal Pradesh. The action forms part of a money-laundering investigation under the Prevention of Money-Laundering Act, 2002.
The case centres on alleged manipulation of compensation payments meant for landowners and others affected by the highway project. Investigators are examining claims that public funds sanctioned for genuine compensation were obtained through irregular assessments involving changes in land measurements, ownership details, and the valuation of structures, trees, plantations and other assets.
The latest attachment is distinct from an earlier provisional attachment of two properties worth approximately 2.69 crore rupees linked to another beneficiary in the same investigation. Together the two actions bring the total value of properties provisionally attached in the matter to approximately 5.99 crore rupees.
Scope of the Investigation
The inquiry relates to Packages IV and V of the Lada–Sarli section of National Highway 913. Reporting connected with the investigation has referred to approximately 109.65 crore rupees sanctioned for land acquisition compensation under these packages, of which roughly 32.45 crore rupees has been described as unaccounted for. The 3.30 crore rupees figure represents only the value of the three properties attached in the November 2026 action and is separate from the larger unaccounted amount under examination.
The alleged irregularities include inflated compensation claims, alteration of land measurements and ownership records, and discrepancies in the assessment of structures and natural assets. Compensation is calculated on the basis of land and assets actually affected by acquisition. Inclusion of non-existent assets or inflated measurements can result in payments exceeding admissible amounts.
Details of the Three Properties
The three properties provisionally attached are:
Land and a farmhouse at Chessa village in Papum Pare district, measuring approximately 4,800 square metres and valued at 1.90 crore rupees. The registered holder is Senia Yangfo.
Land at Daria Hills in Itanagar, measuring approximately 3,000 square metres and valued at 91 lakh rupees. The registered holder is Kongo Pordung.
Land at Paya Myo under Beyong village in East Kameng district, measuring approximately 31,500 square metres. Attachment has been ordered to the extent of 49.25 lakh rupees. The registered holder is Kongo Pordung.
The first two properties were traced to purchases made shortly after the receipt of compensation funds. In the third case, the corresponding sum of 49.25 lakh rupees could not be located in its original form and an equivalent-value property was therefore attached.
Money Trail Involving Choye Killo and Senia Yangfo
According to the investigation findings, Choye Killo received approximately 2.36 crore rupees as compensation. Of this amount, roughly 2.03 crore rupees has been identified as excess or ineligible. Within one day of receiving the compensation, 2.01 crore rupees was transferred to Senia Yangfo. Approximately 1.90 crore rupees of that sum was used to purchase the land and farmhouse at Chessa village, which was registered in Senia Yangfo’s name and has now been provisionally attached.
Money Trail Involving Kongo Pordung
Kongo Pordung is linked to approximately 1.40 crore rupees identified as excess or ineligible compensation. On the day after receiving the funds, 91 lakh rupees was transferred and used to purchase the 3,000-square-metre plot at Daria Hills, registered in Kongo Pordung’s name. That property has been provisionally attached.
An additional 49.25 lakh rupees associated with the same individual could not be traced in its original form. The land at Paya Myo has therefore been attached to the extent of that amount.
Earlier Attachment Involving Nyakpo Yangfo
On 14 August 2026 the same ED office provisionally attached two immovable properties valued at approximately 2.69 crore rupees belonging to Nyakpo Yangfo. Those properties were:
Land measuring 7,950 square metres at Taraso village in Balijan Circle, Papum Pare district, valued at 1.59 crore rupees.
Land measuring 3,440 square metres, including two fishponds, at Chessa village in the same circle, valued at 1.10 crore rupees.
Nyakpo Yangfo had received approximately 3.36 crore rupees in compensation under Packages IV and V. Investigators identified roughly 3.25 crore rupees of that sum as excess or ineligible. The findings relied on a Fact-Finding Committee report and a re-verification exercise that included beneficiary-wise comparative statements. Compensation had been calculated for bamboo, ordinary trees and a semi-permanent timber building that were found not to exist during physical verification.
The money trail showed that 1.89 crore rupees received on 5 June 2025 was followed the next day by a transfer of 1.59 crore rupees for the Taraso land. A further 1.46 crore rupees received on 22 July 2025 was followed the next day by a transfer of 1.10 crore rupees for the Chessa land and fishponds. Both properties were provisionally attached under the PMLA.
Origin of the Controversy
Complaints about the compensation process surfaced well before the ED actions. On 7 May 2025 landowners from Jayang Bagang and Kesse Bagang villages in East Kameng district approached senior state officials alleging procedural violations, manipulation of records and irregularities in the land acquisition process. They claimed that the initial survey had not been properly conducted and that compensation awards had been prepared for a 24-kilometre stretch under Package V without ground assessment.
On 27 May 2025 affected residents lodged a complaint against the then East Kameng Deputy Commissioner and the District Land Revenue and Settlement Officer. They questioned the work of the survey team, alleged incomplete ground surveys, and raised concerns about notices inviting claims before the necessary fieldwork had been completed. They also cited possible non-compliance with the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, and sought an independent inquiry.
Administrative Response
On 13 August 2025 the Arunachal Pradesh government constituted an eight-member Fact-Finding Committee headed by the Transport Commissioner to examine the allegations. The committee looked into incomplete surveys, exclusion of genuine landowners, inclusion of disputed beneficiaries, excessive payments and lack of communication with affected families.
Its interim report, submitted on 4 November 2025, identified serious omissions and commissions by the joint field survey team, including assessment of non-existent assets, wrongful valuations and fraudulent assessments. The inquiry covered Packages I to V, a stretch of approximately 125.55 kilometres.
On 12 November 2025 the state government suspended four officials: Divisional Forest Officer Abhinav Kumar, District Agriculture Officer Miram Perme, District Horticulture Officer C.K. Tayum, and District Land Revenue and Settlement Officer Takam Kechak. Disciplinary action was also recommended against the then East Kameng Deputy Commissioner, who had chaired the Ground Verification Board.
In December 2025 the Vigilance Department approved the Anti-Corruption Bureau’s request to register an FIR into alleged misappropriation of compensation funds. The complaint had been filed by the All Nyishi Youth Association’s East Kameng unit. Approval was given for investigation under Section 17A of the Prevention of Corruption Act, 1988, and other applicable provisions.
Later the same month the Department of Land Management ordered the constitution of re-verification committees to physically examine land and compensation claims under Packages I to V against the approved strip plan of the project.
In May 2026 reports indicated that the state government had initiated recovery proceedings concerning approximately 114 crore rupees linked to the compensation controversy. The Land Department confirmed that the relevant file had been sent for higher approval.
Broader Project Context
The Lada–Sarli road forms part of the Frontier Highway (NH-913), a strategically important infrastructure project intended to improve connectivity in the border regions of Arunachal Pradesh. The overall planned length of the Frontier Highway is approximately 1,824 kilometres. In February 2024 the Ministry of Road Transport and Highways approved 2,248.94 crore rupees for the construction of the Lada–Sarli section covering 105.59 kilometres across several packages. Separate sanctions were later announced for other stretches of the highway. The construction budgets are distinct from the land-acquisition compensation amounts under investigation.
The cumulative provisional attachment of properties worth approximately 5.99 crore rupees represents the assets so far identified by the ED as connected with the alleged proceeds of crime or their equivalent value. The investigation continues to examine the larger compensation disbursements under Packages IV and V and the processes by which assessments were prepared, verified and approved.
