₹44.98-crore excess compensation detected in Trans-Arunachal Highway land acquisition; former Deputy Commissioner, engineer and alleged ineligible beneficiaries under ED investigation
ITANAGAR/SHIMLA/NEW DELHI:
The Enforcement Directorate (ED) has provisionally attached immovable properties worth ₹6.77 crore in the Trans-Arunachal Highway (TAH) land acquisition compensation scam, taking the total proceeds of crime secured in the case to ₹16.90 crore.
The investigation has exposed alleged large-scale manipulation of land acquisition records, fraudulent compensation claims, diversion of public money and layering of suspected proceeds through multiple bank accounts.
The data and details of the project accessed by HimbuMail reveals that ED has yet to reach to bottom of racket.
The Trans-Arunachal Highway (TAH) is one of India's major strategic road infrastructure projects in the Northeast, planned to connect Tawang in western Arunachal Pradesh with Kanubari in Longding district in the southeast, linking several districts and improving connectivity across the mountainous state.
The project is being implemented under the overall policy and funding framework of the Union Ministry of Road Transport and Highways (MoRTH), with execution distributed among the National Highways and Infrastructure Development Corporation Ltd (NHIDCL), Border Roads Organisation (BRO) and Arunachal Pradesh Public Works Department (PWD).
NHIDCL is a government-owned company under MoRTH, responsible for developing national highways and strategic roads in difficult and remote terrain.
The division of responsibility is significant. MoRTH is the nodal ministry, while NHIDCL, BRO and State PWD undertake construction and implementation of their respective stretches.
According to figures placed before the Arunachal Pradesh Assembly in August 2021, the State PWD was entrusted with 978 km, NHIDCL with 753 km, BRO with 324 km and MoRTH with 341 km of the highway.
These are the allocations reported at that time and should not be treated as the latest completion figures.
NHIDCL's official project status page lists the following Trans-Arunachal Highway packages. Pasighat–Bomjur — Completed. Changlang/Tirap district boundary–Changlang — Completed (18.27 km).
Kanubari–Longding is Completed (47.214 km). Pasighat–Pangin Package III — Completed (17.12 km). Brahmakund T-junction–Kamlang T-junction — Upcoming (24.819 km).
Kamlang T-junction–Chowkham — Upcoming (35.066 km).
Demwe–Brahmakund Greenfield section
Relevance to the compensation scam
The ED's investigation concerns alleged manipulation of land acquisition compensation under the Potin–Bopi stretch of the Trans-Arunachal Highway.
This is important because the highway is a multi-agency national infrastructure programme involving substantial public expenditure and land acquisition.
The alleged ₹44.98-crore excess compensation therefore raises questions about beneficiary verification, land records, valuation assessments and financial oversight in the execution of major highway projects.
Declaring the findings on November 6, 2026, the ED's Itanagar Sub-Zonal Office said the latest attachment was made under Section 5(1) of the Prevention of Money Laundering Act (PMLA), 2002, following further investigation into the alleged diversion of compensation funds meant for land acquisition under the Potin-Bopi stretch of the Trans-Arunachal Highway project.
₹44.98 crore excess compensation to fictitious beneficiaries
The scale of alleged irregularities emerged from a fact-finding committee constituted by the Arunachal Pradesh Government, which reportedly detected excess compensation payments of approximately ₹44.98 crore to fictitious or ineligible beneficiaries.
According to the ED, the payments were allegedly facilitated through manipulated land records by public servants in connivance with private individuals, causing wrongful loss to the government exchequer.
The investigation has focused on the alleged involvement of the then Deputy Commissioner of Ziro, Late Kemo Lollen, who oversaw the compensation disbursement; Toko Taje, then Junior Engineer in the Yazali Division, who was involved in the structural assessment of compensation claims; and Tadar Babin, who was allegedly included as a beneficiary despite having no lawful entitlement.
₹2 crore allegedly paid to former Deputy Commissioner
The ED investigation reportedly revealed that ₹2 crore was allegedly paid in cash to Late Kemo Lollen in consideration of the fraudulent inclusion of an ineligible beneficiary in the compensation records.
Another ₹40 lakh was allegedly routed through M/s Tenzin Enterprises before being handed over to Lollen through his son, the agency said.
Investigators also traced a transfer of ₹2 crore to the bank account of Smt. Toko Youch, wife of Toko Taje. The amount was allegedly utilised and layered through multiple bank accounts to conceal its origin and movement.
In another significant finding, the ED said Tadar Babin received compensation of approximately ₹5.47 crore despite having no land, building or other asset in the project-affected area and no legal entitlement to compensation.
Three properties worth ₹6.77 crore attached
The latest provisional attachment covers three immovable properties: ₹2.40 crore: A residential property spread over approximately 2,250 square metres, comprising a G+2 RCC building at Yeggo Village, Aalo, West Siang district, standing in the name of Late Kemo Lollen.
₹2 crore: JEYOUCH HUTS Resort, spread over approximately 10,720 square metres at Tigdo Village, Doimukh, Papum Pare district, in the name of Toko That Jotam, son of Toko Taje.
₹2.37 crore: A residential-cum-commercial property in A-Sector, Naharlagun, Papum Pare district, standing in the name of Tadar Babin.
The ED said these properties represented the value of proceeds of crime identified during further investigation.
₹16.90 crore secured through multiple actions
The latest attachment follows a series of searches and financial actions in the case.
According to the ED, investigators had earlier frozen bank balances and deposits aggregating approximately ₹5.14 crore.
During searches conducted on February 6, 2026, the agency seized ₹2.62 crore in cash, including ₹2.40 crore from Likha Maj and ₹22 lakh from Tadar Babin.
The ED had also attached immovable properties worth approximately ₹2.37 crore belonging to Tadar Babin and Likha Maj under Provisional Attachment Order No. 02/2026 dated March 23, 2026.
With the latest attachment of ₹6.77 crore, the total value of assets and funds secured in the investigation has reached approximately ₹16.90 crore, the agency stated.
Prosecution proceedings already initiated
The ED said it had earlier filed a prosecution complaint on March 12, 2024, before the Special Court (PMLA) at Yupia, which took cognisance on March 14, 2024. A supplementary prosecution complaint was subsequently filed on March 30, 2026.
The latest attachment marks a further expansion of the money-laundering investigation into alleged corruption in land acquisition compensation for a major highway project in Arunachal Pradesh.
The case raises serious questions about the integrity of land records, verification of beneficiaries and the mechanisms used to assess and disburse compensation in large public infrastructure projects.
The alleged diversion of nearly ₹45 crore through fictitious and ineligible claims points to the vulnerability of public funds when land acquisition processes are manipulated by officials and private beneficiaries.
All allegations and financial findings cited above are based on the Enforcement Directorate.
Provisional attachment is a statutory investigative measure and does not by itself establish guilt.
Now all eyes are on ED as to how soon it will recover the rest of the Rs 28 Crore from the racketeers.
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