The suspended officer, identified as BD Wadwa, allegedly forged signatures of other officers to get funds cleared while he was the principal of the Government Boys' Session Secondary School in Hastsal in Uttam Nagar area of west Delhi, said an official statement.
A senior government official said Wadhwa was the principal of the school between 2008 and 2015.
On the directions of Deputy Chief Minister Manish Sisodia, who also holds the education portfolio, Wadhwa has been suspended for allegedly being involved in corrupt practices, the statement said.