Mon Sep 08 13:55:22 UTC 2025: **Summary:**

The Upa-Lokayukta of Andhra Pradesh has ordered the state government to rectify fraudulent withdrawals from the General Provident Fund (GPF) accounts of High-Level Canal employees. An investigation revealed that officials created duplicate beneficiary IDs to divert funds into fake accounts, causing financial loss to employees like G. Jaya Bharathi and D.V. Ramasanjanna. The government has been directed to credit the genuine GPF amounts, initiate criminal and departmental action against the responsible officials (including engineers and assistants), and examine security lapses in the CFMS portal. Disciplinary proceedings are underway, and a criminal case has been registered, leading to the arrest of one junior assistant.

**News Article:**

**Andhra Pradesh Government Ordered to Rectify GPF Fraud, Officials Face Action**

**KURNOOL, September 8, 2025** – The Andhra Pradesh government has been directed by the Upa-Lokayukta to rectify widespread fraud involving the General Provident Fund (GPF) accounts of employees working in the High-Level Canal (HLC) division. The order comes after complaints of fraudulent withdrawals were investigated, revealing a scheme where officials diverted GPF funds into fake bank accounts through the creation of duplicate beneficiary IDs.

The investigation uncovered that substantial amounts, including ₹10 lakh belonging to Assistant Executive Engineer G. Jaya Bharathi and ₹17.14 lakh belonging to retired Deputy Executive Engineer D.V. Ramasanjanna, were wrongly credited to unauthorized accounts.

Taking a stern stance on the matter, the Upa-Lokayukta has mandated the government to immediately credit the legitimate GPF amounts to the affected employees. Furthermore, the government has been ordered to initiate both criminal and departmental action against all involved officials, including executive engineers, superintendents, and junior assistants serving at the High-Level Canal (HLC) Letter of Credit (LOC) Division. A thorough examination of security vulnerabilities within the CFMS portal has also been ordered to prevent future occurrences.

In response to the directive, the government has reportedly settled the complainants’ GPF dues and is permitting interest on the delayed settlement. Disciplinary proceedings have commenced against several officials, and a criminal case has been registered under Sections 420, 406, and 409 IPC read with Section 34 IPC. One junior assistant, identified as A. Pravesh Kumar, has already been arrested and placed in judicial custody. The investigation is ongoing.

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