KONNI: More informed have emerged in the case of a village extension officer (VEO) arrested for embezzling more than Rs 50 lakh from the LIFE housing scheme in two panchayats. M R Rani Lakshmi of Puthenvila House at Mlanthadam in Konni, was arrested by the Konni police on Wednesday. She embezzled money from Seethathodu and Thannithodu panchayats. She was arrested on the complaint of panchayat secretaries.
The police have also found that she presented a taurus lorry to her husband as Onam gift. It is suspected that the money obtained through the fraud was used to purchase the lorry. Reports also say that she had carried out a similar fraud at Aruvappulam Panchayat, where she had previously worked. The police have obtained details of it. Rani Lakshmi and her husband had previously been accused in criminal cases. Police said the fraud was carried out as part of a well-planned scheme.
Police said Rani Lakshmi transferred funds allocated to LIFE beneficiaries for house construction and repairs into the bank accounts of her relatives and friends. A total of Rs 51.23 lakh was transferred to bank accounts at Neendakara in Kollam. She also forged documents and created fake beneficiaries by listing relatives and friends living outside the panchayat limits as LIFE beneficiaries. The fraud came to light when the panchayat administrations conducted an investigation after delays occurred in disbursing funds to beneficiaries who had completed their house construction. Complaints were subsequently filed with the police after the money was not repaid.