Guidelines issued to check misappropriation of funds in govt accounts

New guidelines to avoid scope for Telugu Akademi type incidents 

The State government has initiated steps to streamline the operation of savings, current and fixed deposit accounts by the government and government undertaking departments.

Accordingly, the officials concerned are directed to furnish information/details pertaining to the existing bank accounts and fixed deposits in the Finance Department’s web portal https://ifmis.telangana.gov.in/bankaccounts in a prescribed proforma and the details should be updated on monthly basis, on the 10th of every month.

The new guidelines have been issued in view of the incidents involving fraudulent withdrawal of deposits made by government and government undertaking departments/institutions. There were also instances of certain departments opening savings/current and fixed deposit accounts for the government’s money in various banks without obtaining prior permission in violation of the existing rules.

Senior Finance Department officials said the fresh guidelines are aimed at avoiding scope for incidents like withdrawal of Telugu Akademi funds fraudulently.

Union Bank of India former chief manager S.K. Mastan Vali and 21 others were arrested for fabricating and forging Telugu Akademi’s cover letters for fraudulent use in fixed deposits. Over ₹65 crore had been misappropriated from two branches of the UBI and one branch of Canara Bank between January and September last year.

A similar incident was reported in the erstwhile united State when the funds of the Minorities Finance Corporation were withdrawn fraudulently. The case involved withdrawal of ₹55.47 crore from the three branches of Vijaya Bank opening fake accounts in the name of the accounts manager concerned.

“The orders have been issued to avoid Telugu Akademi type situations,” a senior official said. The departments are directed to verify whether all the existing accounts were opened by obtaining prior permission and review the need for continuing the existing accounts. Steps should be taken to close unnecessary and unwanted bank accounts immediately, if felt appropriate and a report about the action taken should be sent before March 10.