Chandigarh. A senior official of the HSAMB has been dismissed after allegations surfaced of a ₹10 crore scam involving suspected misuse of public funds. The case, which includes claims of fake billing, inflated invoices and irregular payment approvals, has been handed over to the CBI as investigators examine whether the alleged fraud involved a wider network.
Audit Flags Fake Billing and Payment Irregularities
According to officials, preliminary internal findings pointed to serious financial irregularities in project expenditure and payment records. Acting on an internal audit report, the department initiated disciplinary action, resulting in the termination of the officer’s services.
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The case came to light during a routine financial audit, when discrepancies were found in project expenditure records and payment approvals. Investigators reportedly found that several bills had been cleared for works that were either incomplete or had not been executed.
CBI to Examine Fund Trail and Wider Links
Sources familiar with the investigation said multiple contractors and intermediaries may also come under scrutiny as the probe expands. Early assessments suggest the irregularities may have formed part of a structured network exploiting loopholes in the financial system to divert government funds.
All relevant financial records, tender documents and payment approval files have been handed over to investigating agencies. The CBI will examine whether the fraud was limited to one official or involved a broader network within the department.
System-Wide Re-Audit Ordered
The department has ordered a comprehensive re-audit of all related projects to identify any further irregularities or financial deviations. Officials are also reviewing whether similar patterns exist in other ongoing or completed works.
Investigators are expected to map the entire fund trail, including bank accounts, intermediaries and entities allegedly involved in the diversion of money. Government sources have indicated that further administrative action or arrests cannot be ruled out as the investigation progresses.
The case has raised concerns over transparency and accountability in public financial management, while officials focus on identifying how the alleged misuse of funds continued and whether systemic lapses enabled the irregularities.
