Chitrakoot: In a significant development in the widely reported Chitrakoot treasury scam, the Special Investigation Team (SIT) has arrested five pensioners and sent them to judicial custody, even though they had returned the entire amount credited to their bank accounts. The total sum transferred to these five individuals was three crore forty-four lakh rupees.
According to officials associated with the investigation, the arrested pensioners have been identified as Jeevanlal, Natthuram, Lallu Prasad Kushwaha, Kailash Nath Pandey and Shivmangal. Each of them had received substantial amounts in their respective bank accounts as part of the fraudulent transactions linked to the treasury. After the scam surfaced in October 2025, the accused deposited the entire amount back into the bank.
However, investigators have maintained that returning the money does not absolve an individual of criminal liability if involvement in the irregularities is established. Based on documentary evidence, bank transaction trails and other material collected during the probe, the SIT found prima facie indications of their role in the fraudulent transfers. Following due legal procedure, the accused were produced before a court, which remanded them to judicial custody.
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Scam Surfaced in October 2025
The treasury scam came to light in October 2025 after irregularities were detected in pension and other government-related payments. Preliminary findings suggested that funds were transferred to suspicious or ineligible accounts through manipulation of official records. The total amount involved in the scam has been estimated at approximately forty-three crore thirteen lakh rupees.
So far, First Information Reports (FIRs) have been registered against 97 pensioners and employees. During the course of investigation, the names of 25 alleged middlemen also surfaced. Of these, nine middlemen, 30 pensioners and two employees have already been sent to jail in earlier phases of the crackdown. With the latest arrests, the number of individuals taken into custody in connection with the case has increased further.
Focus on High-Value Transactions
Investigating agencies have drawn a distinction between smaller and larger transfers while pursuing the case. Nearly 30 pensioners have so far returned the funds credited to their accounts, most of whom had received less than ten lakh rupees.
However, cases involving transfers exceeding ten lakh rupees are being treated with priority. The SIT is currently searching for sixty-three pensioners whose accounts allegedly received amounts above this threshold. Officials are scrutinising bank statements, Know Your Customer (KYC) documents and conducting field inquiries to trace the remaining accused. Raids have also been carried out at multiple locations as part of the ongoing operation.
Refund Does Not Guarantee Immunity
Officials connected with the probe have clarified that mere repayment of funds does not guarantee relief from prosecution. If it is established that an individual knowingly or in collusion received fraudulent payments, criminal proceedings will continue in accordance with the law. The court will determine further action based on the evidence placed on record.
The scam has raised serious concerns over transparency and oversight within the treasury system. Administrative authorities have initiated an internal review of financial control mechanisms to plug loopholes and prevent recurrence of such irregularities in the future.
The investigation remains ongoing, and the SIT has indicated that efforts to trace and arrest the remaining accused have been intensified. Further revelations in the case are expected in the coming weeks as the probe progresses.
