Alleged misappropriation of funds uncovered in Karnataka

Bangalore, July 03: In a major scam, alleged misappropriation of funds estimated to be around Rs 50 crore was uncovered by Karnataka Lok Ayukta during raids at offices of two city municipal corporations today.

Bangalore, July 03: In a major scam, alleged misappropriation of funds estimated to be around Rs 50 crore was uncovered by Karnataka Lok Ayukta during raids at offices of two city municipal corporations today.
While alleged misappropriation of funds to the tune of between Rs 40 crore and 50 crore came to light during the raid on Krishnarajapuram CMC, the figure was estimated to be around Rs eight crore at Mahadevapura CMC, Lok Ayukta sources said.

The raids were carried out by Lok Ayukta, N Venkatachala, who has just completed one year in office, along with officials.

"This is the biggest scam. Crores of rupees have been eaten away. There are no records (on spending money on development works)", Venkatachala told reporters.

The raiding officers found irregularities in the purchase of pesticides, sewing machines, electrical goods, erection of electrical poles and sign boards and cleaning drainages, clearing of parthenium weeds and laying of road, among others.

The officers said the goods had been purchased at highly inflated rates and on several occasions without even calling for tenders, which is mandatory.

Bureau Report

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