CBI to investigate Rs 16 cr fraud in Railways
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Last Updated: Thursday, October 13, 2011, 15:34
New Delhi: CBI will look into alleged financial irregularities to the tune of Rs 16 crore by certain railway officials in connivance with private persons in purchase of goods for the PSU.

The alleged fraud at Kharagpur Workshop under the South Easter Railway Division was first detected by the Central Vigilance Commission which, after carrying out preliminary checks, decided to refer the case to CBI to unearth criminal conspiracy and corruption.

"The irregularities involve purchase of items related to repairing of railways coaches and locomotives. We have already recommended major penalty against four officials for their involvements in the wrongdoings besides transferring the case to CBI," a CVC official said.

According to the official, the accused were making proxy bills while purchasing items from private vendors.

He did not give details about the accused and their modus operandi but claimed that certain senior railway officials were involved in the scam.

The Railways workshop at Kharagpur, established in 1898, carries out periodic overhaul of all varieties of diesel locomotives, electric locomotives, coaches, wagons, Electric Multiple Units (EMUs), and steam and diesel cranes.

CVC officials said that a detailed report has been sought from the Railways in this matter.

When contacted, a CBI official said, "The documents are being examined and a probe is underway". However, he said that the CBI has not yet registered a case in this regard.


First Published: Thursday, October 13, 2011, 15:34

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