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June 1, 2025

Gujarat Minister’s Son Re-Arrested After Bail in ₹71 Crore MGNREGA Scam

In a significant development Kiran Khabad, was re-arrested by Dahod police on Thursday evening. Kiran is the son of Gujarat Minister of State for Panchayat and Agriculture Bachubhai Khabad. The arrest comes immediately after he was granted bail in a previous case. The case was linked to a Rs 71 crore scam under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

According to reports, Kiran and his brother, Balvantsinh Khabad, were initially arrested two weeks ago. The arrest comes in connection with alleged fraudulent MGNREGA activities. These illegal activities were being carried out in Devgadh Baria and Dhanpur talukas of Dahod district.

Dahod police reports suggest that the two are accused of submitting forged documents and false work completion certificates. This happened between the year 2021 and 2024 to claim government payments without executing the assigned work.

Fresh Arrest Minutes After Bail Order

A Dahod Sessions Court granted bail to both Kiran and Balvantsinh Khabad on Wednesday. However, their release was very short-lived. Just minutes after the court dismissed a police plea to stay the bail order on Thursday, Kiran was re-arrested. The recent arrest was under a new FIR filed at Dahod B-Division police station.

According to Dr. Rajdeepsinh Zala, Superintendent of Police, the second FIR was filed based on a complaint by BM Patel. Patel is the Director of the District Rural Development Agency (DRDA). He alleged about a separate scam involving incomplete MGNREGA works in Lavaria village of Devgadh Baria.

Zala said, “Kiran Khabad has been rearrested in a second FIR at Dahod B-Division police station for an alleged scam under MGNREGA based on the DRDA complaint. While a probe is on to ascertain the amount of scam, about 21 out of 79 works under MGNREGA in Lavaria village of Devgadh Baria had been left incomplete (and payments made)… Kiran’s agency is accused of supplying material for the projects despite being unauthorised, just like in the first FIR.”

Rs 18.41 Lakh Paid for Unfinished Work

Deputy Superintendent of Police Jagdishsinh Bhandari confirmed that the new case involves payments of Rs 18.41 lakh made to several agencies, including the one allegedly run by Kiran Khabad, for work that remained incomplete.

“He was arrested on Thursday night after he came out of jail on bail in the first FIR. He was arrested in a fresh case lodged by Dahod police. As per the fresh FIR, some agencies, including Kiran, received payments from the government without completing work allotted to them under MGNREGA,” said Deputy Superintendent of Police Jagdishsinh Bhandari.

The authorities claim that 21 out of 79 sanctioned MGNREGA works in Lavaria village were left unfinished. Furthermore, Kiran’s agency, despite lacking authorization, supplied materials and still received government payments. This mirrors the accusations in the original FIR.

Bail Conditions and Ongoing Investigation

Meanwhile, as a part of their bail conditions, both Kiran and Balvantsinh Khabad were required to submit bonds of Rs 50,000 each. In addition both are barred from entering Dahod district until the investigations conclude. They must also cooperate with the police and appear before investigators when summoned.

The re-arrest signals a widening probe into the misuse of public funds under MGNREGA in Dahod district.

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