ED Cracks Down on Alleged Engineering Seat Blocking Racket in Karnataka

Bengaluru, June 2025 – The Enforcement Directorate (ED) has launched a major investigation into an alleged “seat blocking scam” involving several private engineering colleges in Karnataka. Acting on credible intelligence, the ED on Wednesday carried out searches at 18 locations across Bengaluru, including college campuses, the homes of trustees, education consultants, and alleged middlemen involved in the operation.
The investigation revolves around claims that certain private institutions were reserving engineering seats under the guise of admissions, only to later release them to candidates who paid hefty sums. These practices reportedly deprived genuine merit-based candidates of fair opportunities and enabled a parallel, illicit market for engineering admissions.
Among the key institutions facing scrutiny are BMS College of Engineering, Akash Institute of Engineering and Technology, and New Horizon College of Engineering. Sources suggest that these colleges, along with various associated individuals, are under suspicion for their role in manipulating seat allocations and engaging in financial misconduct.
The alleged scam works through a process known as “seat blocking,” where seats are held back from the regular admission cycle. These seats are later sold off through unofficial channels at inflated prices, compromising the transparency of the admission process and exploiting families seeking quality education for their children.
Officials from the ED stated that the operation aims to trace the money trail and identify all parties involved in the racket. The investigation is expected to reveal the scope of the financial irregularities and the networks facilitating such practices.
This move by the ED marks a significant step toward curbing corruption in higher education, particularly in competitive courses like engineering. Authorities have emphasized the importance of upholding fairness in admissions and warned that strict action will be taken against those found guilty.
The probe is still ongoing, and more details are expected to emerge in the coming days. The ED’s intervention serves as a warning to institutions and individuals attempting to bypass legal admission norms for monetary gain.
