The Enforcement Directorate claimed on Monday that Sandeshkhali's Trinamul strongman Sheikh Shahjahan had grabbed the plots of many villagers to sell those illegally to other persons.
The ED made this submission on Monday before a Calcutta court, which granted the central agency custody for the accused ruling party leader till April 13.
On Saturday, during an interrogation at the Basirhat correctional home, the ED arrested Shahjahan in connection with land grabbing and financial irregularities in Sandeshkhali.
Shahjahan was formally produced before the Bankshall court in Calcutta on Monday when the ED claimed that the Trinamul leader had been operating a "syndicate" with the support of his close aides.
"Money siphoned through land grabbing used to be invested by the leader in prawn farming," an ED official said.
A lawyer defending Shahjahan raised questions about the ED's alleged failure to produce him in court within 24 hours since he was "shown arrested" on Saturday.
Three persons accused of attacking the ED team in Sandeshkhali on January 5 recorded their statements before the ACJM Basirhat. Mehaboob Mollah, Sukamal Sardar and Saifuddin Mollah, who are in jail, appeared before the magistrate and recorded their account under section 364 of CrPC.