Yathiraju By

BENGALURU: The Anti-Corruption Bureau of the Central Bureau of Investigation has unearthed a scam in the South Western Railway in which Rs.39.60 lakh has been allegedly misappropriated.

Officials allegedly prepared forged bills for educational allowance, tuition fees and hostel subsidy in the names of various innocent employees working at the Permanent Way, Hindupur, Bengaluru division of South Western Railway.

The main accused in the scam is M Nagaraj (52), superintendent/bill clerk, Office of Senior Section Engineer, Permanent Way, SWR. Investigation revealed that other railway officials and private individuals had colluded with Nagaraj.

Even though none of the employees applied for education allowances, tuition fee and hostel subsidy, the amount was sanctioned in their names. Subsequently, Nagaraj would collect the sanctioned amount in cash from the respective employees by stating that the amount had been credited to their account and that he would remit the same back to the Railways account. Nagaraj got the allowances sanctioned fraudulently in 2015, said CBI sources.

The ACB carried out a search at Nagaraj’s house on March 5 and seized numerous records. During the search, his family members said he had gone to Dharmasthala and that he was informed about the search.

His wife was told to ask him to appear before the investigating officer. However, he has not done so, a CBI official said.

Anticipatory Bail

Nagaraj approached the CBI court for anticipatory bail. Principal Special Judge Bheemanagouda K Naik allowed his application on March 26. CBI stated that the investigation is at an initial stage and interrogation of Nagaraj is essential to ascertain the modus operandi and to ascertain if other employees and individuals are also involved in the crime.