₹13.83 Crore Properties Attached in Alleged Uttarakhand Scholarship Fraud Case

The Enforcement Directorate (ED) has provisionally attached assets valued at approximately ₹13.83 crore as part of its ongoing money laundering investigation into an alleged scholarship fraud involving funds earmarked for Scheduled Caste (SC) and Scheduled Tribe (ST) students in Uttarakhand.

The case pertains to the alleged misuse and diversion of post-matric scholarship funds distributed between the academic years 2011-12 and 2016-17, which were intended to support the education of economically disadvantaged students.

Probe Triggered by Police Investigation

According to the ED, the money laundering investigation originated from a First Information Report (FIR) registered by the state police regarding suspected irregularities in the allocation and utilization of scholarship funds.

Investigators have alleged that several private educational institutions and associated organizations fraudulently claimed scholarship benefits by listing ineligible or unverifiable students as beneficiaries.

Among the institutions under scrutiny are educational establishments located in Uttarakhand and neighboring Uttar Pradesh. Authorities are examining the role of managements, trusts, and affiliated societies that allegedly received government funds through questionable scholarship claims.

Thousands of Claims Examined

The agency stated that investigators reviewed thousands of scholarship applications processed through the District Social Welfare Office in Haridwar during the period under examination.

According to findings cited by the ED, 6,208 scholarship claims resulted in the disbursement of nearly ₹27.98 crore in government funds. Of this amount, approximately ₹19.74 crore was reportedly transferred directly to institutional accounts, while around ₹8.24 crore was credited to bank accounts opened in the names of students.

The investigation has identified 2,895 claims that are alleged to be fraudulent. Authorities claim that many beneficiaries either could not be verified, were not enrolled in the institutions concerned, or were found to be absent during verification exercises.

Alleged Diversion Through Student Accounts

Investigators further allege that bank accounts created in the names of students were controlled by individuals associated with the educational institutions. Scholarship funds deposited into these accounts were allegedly routed back to colleges, trusts, and related entities through transfers and cash withdrawals.

The ED believes the funds were subsequently diverted through multiple channels, including educational societies and third-party entities, in an effort to conceal the source and utilization of the money.

Assets Attached as Investigation Continues

The provisional attachment of properties worth ₹13.83 crore forms part of the agency’s efforts to secure assets believed to be linked to the alleged proceeds of crime.

Officials stated that the investigation remains active, with authorities continuing to trace financial transactions, identify beneficiaries of the alleged fraud, and determine the full extent of the scholarship fund diversion.

The case is one of the most significant probes involving alleged misuse of welfare funds intended for SC and ST students, highlighting concerns over accountability and transparency in the distribution of educational assistance programmes.