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Scholarship disbursal fraud unearthed in Madhya Pradesh

Probe revealed that officials in connivance with bank staff and college authorities have withdrawn the scholarship amount through forgery

Press Trust Of India  |  Indore 

A senior department official and 23 others have been booked by Lokayukta Police in connection with an alleged scam in disbursal of scholarships for SC/ST students pursuing paramedical courses in the district.

"The cases were registered against J P Yadav, Assistant Commissioner in Department, Ranjana Singh, District Coordinator in ST Welfare Department and three other government employees under section 420 (offences relating to cheating and dishonestly inducing delivery of property) and Prevention of Corruption Act," Lokayukta sources said today. Besides them, cases were also registered against four bank officials and college authorities in the matter.

Five students and others were also booked in the alleged scam, the sources said, adding a total of 10 cases were registered in this regard.

According to sources, the officials in connivance with the bank staff and college authorities have allegedly committed a fraud in distribution of scholarships to SC/ST and OBC students from as many as 11 paramedical colleges in Indore district.

Probe revealed that they have withdrawn the amount in collusion with the department and bank officials through forgery, they said. The cops are also trying to find out the amount of loss suffered by the state exchequer in the scam.

First Published: Mon, January 13 2014. 20:53 IST