NRHM scam: Former UP bureaucrat arrested

Former Uttar Pradesh bureaucrat P K Jain was arrested on Thursday by CBI in connection with alleged irregularities in utilisation of funds allocated under National Rural Health Mission (NRHM) scheme.

Last Updated: Jan 05, 2012, 17:55 PM IST

New Delhi: Former Uttar Pradesh bureaucrat P
K Jain was arrested on Thursday by CBI in connection with alleged
irregularities in utilisation of funds allocated under
National Rural Health Mission (NRHM) scheme.

The former general manager of Construction and Design
Services (C and DS), was called to the CBI headquarters this
morning and was placed under arrest this afternoon.

He was later taken to a designated court in Ghaziabad.

The CBI had registered a case against Jain on January 2
for allegedly causing a loss of Rs 5.46 crore in the upgrading
work of 134 district hospitals.

The CBI alleged that Rs 13.4 crore was given to
Construction and Design Services, a unit of UP Jal Nigam, for
the upgrade work of 134 districts hospitals.

It alleged that the work was sub-let to a Ghaziabad-based
firm on the basis of bogus and forged documents.

"The materials installed in the hospitals were found to
be of inferior and sub-standard quality thereby causing an
approximate loss of Rs 5.46 crore to the exchequer," the CBI
alleged.

It claimed to have recovered three kgs of gold and cash
of Rs 1.10 crore besides some important documents during
search operations at Jain`s residence yesterday.

The CBI summoned some officials of Uttar Pradesh for
questioning in connection with alleged irregularities in
utilising Rs 10,000 crore funds allocated under the
centrally-sponsored NRHM.

Besides Jain, former director general of Family Welfare
Department S P Ram was among the senior officials called for
questioning by the CBI, the sources said.

The questioning came a day after the agency carried out
inter-state searches at about 60 locations, including the
residence of former Uttar Pradesh minister Babu Singh
Kushwaha, to probe alleged irregularities.

The agency had registered five cases on January 2 against
certain government and private sector officials, including one
against Kushwaha alleging loss of about Rs 28 crore in
implementing the Centrally-sponsored scheme meant for 72
districts of Uttar Pradesh.

Kushwaha, a BSP OBC leader of the state, was sacked by
Mayawati and expelled from the party last November following
his alleged involvement in the multi-crore scam.

NRHM funds to the tune of about Rs 10,000 crore were
allocated to Uttar Pradesh for the period 2005-06 till date by
the Union Health and Family Welfare Ministry.

PTI