Rs 934-cr scam: Bengaluru civic body paid 6,600 ghost workers for 10 years
Bengaluru’s civic body Bruhat Bengaluru Mahanagara Palike (BBMP) is in the dock for allegedly paying 6,600 non-existent civic workers (pourakarmikas) for over 10 years and also for not crediting its share towards insurance and PF of the existing employees’ accounts, thus cheating the workers and the public of Rs 934 crore.
The Bangalore Mirror has reported that the Karnataka State Commission for Safai Karmacharis (KSCSK) submitted a report on this scam earlier this month, based on which the Home department ordered an inquiry.
The probe has put under scanner at least 87 contractors and officials, who are part of city’s waste management.
Home Minister G Parameshwara reportedly wrote a letter to the police on November 11, referring to the memorandum he received from the KSCSK, which detailed the alleged scam, and sought an inquiry by the “COD [CID]or an independent agency”.
In his letter to the Home Minister, Narayana, a former KSCSK president, talked of the alleged misuse of funds and injustice to workers.
“Since 2005, salaries were being disbursed for pourakarmikas, but without all the components of employer’s contribution towards insurance and PF. Employee’s contribution to ESI [insurance] of 1.75 per cent, and employer’s contribution of 4.75 per cent should have been credited to their insurance accounts. But these funds have not been credited,” he said.
He alleged that contractors had cheated workers out of at least Rs 384 crore.
With no ESI coverage, the pourakarmikas lost over Rs 15 lakh coverage, he said.
“The BBMP is paying salaries to over 19,000 workers. But, as per our survey, only 12,400 are into cleaning activities. Bogus documents have been created for the remaining 6,600 ‘employees’ and salaries are being paid to them for over 10 years,” he reportedly wrote in the letter.