A significant case of financial misconduct, involving the alleged misappropriation of funds from the erstwhile Bruhat Bengaluru Mahanagara Palike (BBMP), has been unearthed in Bengaluru. A recent internal audit exposed fraudulent salary payments totalling Rs 61,49,972, leading to a formal police complaint.
Audit Exposes Multi-Lakh Rupee Scam
The fraud came to light during an internal audit of the Bengaluru Central City Corporation (BCCC). The audit report pinpointed irregular salary payments generated by Ananda Murthy, a second division assistant who was deployed as a drawing and disbursing officer (DDO), along with other individuals. Acting on the findings, a complaint was officially filed at the Ashok Nagar police station on November 29.
The complaint was lodged by Hemanth Sharan J, the joint commissioner (zone 2) and in-charge deputy commissioner (administration) of BCCC. This legal action followed a directive from the corporation, issued on November 28, which ordered proceedings against anyone found to have misused and caused financial loss to the civic body's funds.
How the Salary Payment Fraud Was Executed
According to the procedure, the salaries and allowances for staff under the Chickpet assembly constituency's jurisdiction were brought under BCCC's purview from September 2. The Chickpet revenue officer acts as the DDO, responsible for generating, verifying, and confirming monthly salary bills before sending them to the deputy controller of finance (DCF) for payment.
However, a report submitted by DCF KT Vijayalakshmi on November 29 revealed glaring discrepancies. The scrutiny focused on bills submitted by Ananda Murthy, who was deployed as the officer on duty (OOD) from the Chickpet revenue division at the executive engineer's office in Bommanahalli.
While Murthy's legitimate monthly salary was Rs 73,905, a bill for a staggering Rs 10,19,538 was generated, approved, and sent for payment. A sum of Rs 9,46,443 within this bill was marked as 'other allowances' without any proper authorisation. Further investigation revealed that similar unauthorised payments, cumulatively amounting to Rs 61,49,972, had been processed in earlier instances.
Legal Repercussions and Ongoing Probe
The case underscores serious lapses in the financial verification system within the civic body. The police have registered a case based on the complaint filed by the BCCC officials. The investigation will likely delve into the roles of all individuals involved, including how the fraudulent bills were approved and processed through the system without raising red flags.
This incident highlights the critical need for robust internal audits and stricter controls over financial disbursements in public institutions. The Bengaluru Central City Corporation has initiated corrective action, but the case raises questions about the potential scale of such irregularities and the mechanisms needed to prevent them in the future.
