Executive engineer under scanner for Rs 1.2 crore compensation fund scam

HYDERABAD: The Telangana Vigilance and Enforcement sleuths have unearthed fund swindling in the irrigation department in Mahabubabad where the compensation paid by Gujarat State Petronet Limited to the government was diverted for personal use by officials of engineering department.

GSPL, which laid a gas pipeline from KG Basin in Rajahmundry to Ramagundem fertiliser plant, had acquired government land in Mahabubabad apart from the property acquired from farmers.

In the case so far, an executive engineer identified as LY Ratnam, who was already suspended, has swindled Rs 1.2 crore that was meant for compensation to the government agencies which had parted with the land.

Vigilance sleuths are now digging into all such accounts and transactions in other districts through which the pipeline is passing.

A senior officer of the irrigation department said, "The vigilance department has submitted a report to GAD regarding the diversion of the amount deposited in the account of Mahabubabad executive engineer of irrigation department. GSPL gives compensation as per land acquisition rules to government properties such as water bodies, land and buildings.

"The executive engineers are supposed to credit the amount to the government treasury. In some districts, the respective executive engineers have credited the amount, but in Mahabubabad the amount was diverted and the executive engineer used it for his personal purposes."


The vigilance department has recommended criminal prosecution of executive engineer Ratnam.
T Jagadish Babu, the current irrigation executive engineers of Mahabubabad, told TOI, "Both of my predecessors, including Ratnam, were suspended in another case on irregularities in demand drafts of the department.
"I took charge last December and started checking the accounts. I found that money was withdrawn from the official account of the executive engineer without proper documentation and records.
"The money has been withdrawn or diverted from the Axis Bank account. I reported about the irregularities to the higher authorities. After that the vigilance sleuths started the investigation into the incident."

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