Lottery welfare fund fraud: Four investigations, Rs 15 crores lost and just one accused

THIRUVANANTHAPURAM: It required four investigations to unearth the embezzlement and fraud of crores of rupees in the Lottery Welfare Fund Board. The details of the extorted money kept increasing with every investigation. However, surprisingly, the number of accused did not increase. Only one clerk is named as an accused. If somebody finds it mysterious, who can blame them?

The irregularities were found in the Welfare Fund Board, which receives about Rs 33 lakh daily, and in the signature of the Lottery Director, who distributes prizes worth Rs 55 crore weekly. This is not a crime that could be committed by a clerk named Sangeeth alone. There are indications of involvement from high officials and politicians behind the conspiracy. A transparent investigation will definitely widen the number of accused in this crime.

Vigilance investigations were conducted against Sangeet twice: in the case of amassing assets beyond his income and in the case of falsifying the challan for payment to the treasury. The museum police also investigated him on a complaint that the director's seal was forged. In the meantime, irregularities were reported in the internal audit report. No action was taken in any of them. Moreover, Sangeeth remained the only culprit. In response to a complaint filed by the Lottery Agents Association regarding widespread irregularities, the Additional Chief Secretary of the Finance Department assigned a KAS officer to conduct a special investigation. This investigation brought to light the fraud involving Rs 15 crores. Yet, the responsibility was confined to one person. An outside contractor was also named as a co-accused. The fact that the person who committed fraud in the Welfare Board was transferred to the Directorate and became a clerk in the lottery department adds to the mystery.

If money is to be transferred from the welfare fund account, the supervisory officer in charge must be present. Only funds that go with the mark of the State Welfare Officer are signed by the Lottery Director, who is also the CEO of the Welfare Fund Board. Lottery Directors are mostly civil servants. Senior civil service officials are unlikely to be involved in such a fraud.

Can a clerk alone commit such a big fraud? No.

Why has such a huge amount gone from the board not been traced yet? No answer.

The frauds took place during the period 2018-20 when Jayaprakash was the chairman of the Welfare Fund Board. The current chairman was also on the board at that time. It was during this period that a clerk named Sangeeth worked in the Lottery Department. The Kerala Lottery Agents and Sellers Association has demanded that central agencies investigate the incident.