KOCHI: The Crime Branch has arrested a clerk working at the Ernakulam Collectorate after finding that he allegedly misappropriated funds meant for flood relief activities.
The arrest of Vishnu Prasad comes after the police found that he has been involved in the misappropriation of Rs 10.54 lakh from the flood relief fund to the bank account of one MM Anwar, a local CPM leader.
The CPM had suspended Thrikkakkara (East) local committee member M M Anwar last week for siphoning off Rs 10.54 lakhs from the flood relief fund.
Vishnu Prasad was suspended by the Ernakulam district administration after it was found that he diverted the fund to Anwar's account. According to Thrikkakara police, the transfer was done through Prasad's account at a cooperative bank in the district. Anwar and his associate Mahesh, the other accused in the case, are yet to be arrested as they are absconding.
According to the internal inquiry findings, the names of 325 beneficiaries were duplicated while allotting them flood relief in March 2019. As a result, the additional fund that was in the treasury account was later transferred to Anwar's account.
The employees of the cooperative bank grew suspicious as the huge amount was transferred from state treasury to Anwar's account. District Collector S Suhas was immediately alerted by the employees and he soon issued an order to seize the amount.
According to the officials of Crime Branch, one more CPM member will be arrested for fund diversion. The Crime Branch found out that this member had transferred Rs 2.5 lakh to his wife's account in Dena Bank, Kakkanad. The officials doubted his involvement in the fund diversion case, which was confirmed as Vishnu Prasad was arrested. The officials even ran an investigation at the bank.