The Enforcement Directorate (ED) carried out search operations at several locations in Manipur as part of an ongoing investigation into an alleged money laundering case linked to illegal fund collection and activities considered to be against the sovereignty of India.
The searches were conducted at at least five premises in and around Imphal. The action is connected to Yambem Biren and Narengbam Samarjit, who have described themselves as leaders of a self-styled body called the “Manipur State Council”. Biren has projected himself as the council’s chief minister, while Samarjit has claimed to be its external affairs and defence minister.
The ED said the investigation is focused on allegations that the two individuals raised large sums of money from the public through fraudulent investment schemes and used the funds for activities that amount to sedition and waging war against the Government of India. 
Officials said the searches were carried out under the provisions of the Prevention of Money Laundering Act (PMLA). Documents, digital records and other materials related to financial transactions were examined during the raids.
According to the ED, Biren and Samarjit are key figures associated with the Salai Group of companies. The agency alleged that the duo collected more than Rs 50 crore from the public by promising unusually high returns on investments.
The funds were allegedly mobilised through a network of entities and schemes that operated without proper authorisation. Investigators said many investors were misled into believing that their money was being placed in legitimate financial products.
The case has its roots in a press conference held in London in 2019. During the event, Biren and Samarjit allegedly made statements declaring the “independence of Manipur from the Union of India”.
The ED said such statements amounted to serious offences, including sedition, promotion of enmity between groups, and acts against the sovereignty and integrity of the nation.
These actions were not merely symbolic but were allegedly backed by financial resources raised through illegal means. The agency believes that the funds collected were used to support activities aimed at spreading disaffection and creating disharmony.
Before the ED stepped in, the matter had already drawn the attention of other central agencies. The National Investigation Agency (NIA) and the Central Bureau of Investigation (CBI) had earlier registered cases against the accused.
Officials said the ED’s probe is based on these earlier cases, as well as fresh financial evidence that emerged during the investigation. Under the law, once a scheduled offence is registered by agencies such as the NIA or CBI, the ED can investigate the money laundering aspect linked to those offences.
According to the ED, the financial network under scrutiny dates back more than two decades. Biren and Samarjit allegedly first set up an organisation called the “Kadangband Swajaldhara Implementation Committee” in May 2003.
In August 2008, the organisation was renamed “Smart Society”. Later, another entity, Salai Financial Service, also known as SAFFINS, was established. Its registered office was located at Sagolband Tera Loukrakpam Leikai in Imphal.
The agency alleged that Smart Society functioned illegally as a non-banking financial company (NBFC) without the required approval from regulatory authorities. Despite lacking legal status, it allegedly collected deposits from the public.
The ED said the group collected money largely in cash, describing the payments as membership fees or investments under various schemes. Returns were also allegedly paid in cash, making it difficult to trace the flow of funds.
Investigators said investors were promised very high rates of interest, which were used to lure people into putting in more money. Many of those who invested were from modest backgrounds and were attracted by the promise of quick and assured returns.
“An amount of Rs 57.36 crore was collected from investors under different schemes and was deposited into the personal bank accounts of the Salai Group of Companies, Smart Society and their directors,” the ED said.
The agency has termed the funds as “proceeds of crime”, a legal term used for money generated through illegal activities. According to the ED, the money was not used for legitimate business purposes but was diverted for activities linked to sedition and actions against the state.
Officials said the financial trail suggests a clear link between the money collected and the alleged anti-national activities carried out by the accused.
During the searches, ED officials examined financial records, property documents and electronic devices. The agency did not immediately disclose whether any assets were seized or frozen during the operation.
