The Enforcement Directorate (ED) has arrested suspended former Karnataka Public Service Commission (KPSC) Chairman Shivashankarappa S. Sahukar and KPSC member B.V. Geetha in connection with a money laundering investigation into alleged irregularities in government recruitment examinations.
The arrests came after fresh searches by the central agency at places linked with the two officials in Bengaluru. The ED later moved to produce Sahukar and Geetha before a special court as part of its ongoing investigation, reported ET Now.
The case involves alleged irregularities in KPSC recruitment, particularly the selection process for veterinary officers. Leaks in question papers, manipulation of Optical Mark Recognition (OMR) answer sheets and merit lists are among the things investigated by investigators.
The ED’s investigation is under the Prevention of Money Laundering Act (PMLA). It is investigating whether money that candidates seeking government jobs allegedly collected was transferred through illegal channels and then concealed or used to acquire assets.
The recent arrests follow earlier action against suspended IAS officer and former KPSC Controller of Examinations Gyanendra Kumar Gangwar and alleged middleman Basavaraj Kannale. Their statements and the financial trail being investigated by investigators have become key components of the wider probe.
The veterinary officers’ recruitment examination is at the heart of the investigation. And investigators have alleged that exam material was leaked before the test and that candidates were charged large amounts of money in exchange for access to the leaked material or assistance in getting government appointments.
ED Takes Former KPSC Chairman, Member into Custody in Recruitment Scam Probe Bengaluru The Enforcement Directorate (#ED) has taken suspended former #Karnataka Public Service Commission (#KPSC) chairman Shivashankarappa S. Sahukar and commission member B.V. Geetha into custody in connection with the alleged KPSC recruitment scam. The two were apprehended late on Tuesday night following searches conducted by the central agency. They were subsequently produced before a special court, which granted the ED one-day custody for further investigation. Officials said both Sahukar and Geetha are scheduled to be produced before the special court again on Wednesday afternoon, when the agency is expected to seek extended custody to facilitate sustained interrogation. The ED's action is based on multiple FIRs registered by the state police alleging widespread irregularities in KPSC recruitment examinations, including question paper leaks and tampering of OMR answer sheets. The probe covers several recruitment processes, including the selection of veterinary officers. Investigators suspect that large sums of money were allegedly collected from candidates and routed through illegal channels to secure appointments for ineligible aspirants. The agency is examining the alleged money trail and the role of individuals involved in the recruitment process. @dir_ed
— Yasir Mushtaq (@path2shah) October 7, 2026
The ED has also been investigating allegations that candidates were charged lakhs of rupees. The agency is investigating allegations of bribes of up to ₹80 lakh per candidate in the recruitment process, the New Indian Express reports.
Investigators are also investigating the alleged manipulation of OMR answer sheets and selection lists. The allegations are significant because the KPSC recruitment process determines appointments to government positions, so examination and selection procedures are of high importance.
The investigation now extends beyond the examination irregularities to the suspected financial transactions associated with them. The ED is examining bank accounts, properties, digital devices and other financial records to determine whether alleged proceeds from the recruitment racket were transferred, layered or converted into assets.
Sahukar's role has been under investigation as investigators examine alleged irregularities during his tenure as KPSC chairman. Reports have also raised questions about unusually high marks obtained by a relative of Sahukar in the veterinary recruitment examination and alleged communications between Sahukar and Gangwar before the examination. These are still under investigation and have not been proven as criminal liability by a court.
The KPSC controversy has also involved the appointment of Sahukar's daughter and the use of a supposedly false income certificate. The Karnataka High Court had ordered an SIT investigation into two recruitment-related cases, but the Supreme Court later stayed that direction after the Karnataka government challenged it.
So the latest ED action is a significant development in an investigation that has widened from alleged examination malpractice to suspected money laundering and financial transactions connected to recruitment.
With Sahukar and Geetha now arrested, investigators will try to interrogate them about the alleged recruitment problems, the role of other people and the money involved in the alleged racket. The agency’s investigation could also shed light on whether similar irregularities happened in other KPSC recruitment examinations.
A case like this has received much attention in Karnataka, because it may affect the prospective candidates in competitive exams for government jobs. Paper leaks, the manipulation of answer sheets or payments for appointments can dent confidence in the recruitment process and the fairness of selection.
But the allegations against Sahukar, Geetha and other people are still under investigation and judicial processes. Just an arrest does not imply guilt, and the accused should get their due process of law.
The ED’s recent arrests are another major step in the KPSC recruitment scam investigation, and now the agency is both looking at the alleged manipulation of recruitment examinations and the financial trail of the operation behind it. The next steps before the special court are to determine the next stage of custody and investigation.
