Rs 11 crore scholarship funds claimed with fake papers, four booked

The UP education department has unearthed a Rs 11 crore scholarship scam, involving embezzlement of money meant for scheduled caste and scheduled tribe students under fictitious names. The scheme was launched in the academic session 2012-13 and the alleged embezzlement took place in the first year itself.

Police have booked four persons, including a former Gautambudh Nagar district social welfare officer, in the scam.

The accused have already withdrawn Rs 4.29 crore, out of a total of Rs 10.8 crore they have claimed, by producing a list of 1,623 fake students, under the government scholarship scheme for SC/ST students, in connivance with authorities of some colleges, according to an FIR, a copy of which is with TOI.The four accused have been identified as former Gautam Budh Nagar district social welfare officer Krishna Prasad, senior accountant of Gautam Budh Nagar social welfare department Mohd Tariq, and computer operators, Alok and Sachin, the police said.

Under the scheme, college tution fees of students belonging to SC/ST families, having an annual income of less than Rs one lakh, are to be reimbursedto the colleges by the state government.

In fact, the scam came to light after the education department initiated an internal investigation into alleged siphoning of funds by some officials in connivance with a number of college management, by submitting to the government a list of fake students and opening fictitious bank accounts.

“District officials are empowered to finalise the list of students eligible for the scholarship. They are later required to share the details and account numbers of the eligible students, following which the education department transfers funds meant for the scholarship to the students’ bank accounts,” a senior official said, seeking anonymity.

He added: “But the accused in connivance with the management of some colleges formed a fake list of students. Out of Rs 10.80 crore, Rs 4.29 crore were already transferred to various fictitious bank accounts.”

Earlier, the social welfare department had tried to shift the blame for the scam on students, saying they had submitted the fake documents to pocket scholarship money, by submitting fake certificates. But the education department probe established the involvement of the accused officials.