New Delhi: The Special Investigation Team (SIT) has intensified its investigation into alleged large-scale irregularities in scholarship schemes in Uttarakhand, with preliminary estimates suggesting that the suspected fraud could exceed ₹500 crore. Investigators are examining allegations of fake admissions, fabricated academic records, suspicious bank accounts and the alleged diversion of government scholarship funds. As part of the investigation, authorities are conducting extensive verification of digital records available on the National Scholarship Portal (NSP), banking transactions and the identities of beneficiaries.
The latest investigation comes against the backdrop of an earlier major scholarship scam that had rocked Uttarakhand. Between the 2011-12 and 2016-17 academic sessions, alleged irregularities in the SC/ST Post-Matric Scholarship Scheme resulted in 156 criminal cases and the arrest of 98 accused persons. Despite those enforcement measures, fresh allegations have now emerged involving the Minority Scholarship Scheme, raising renewed concerns about oversight and monitoring mechanisms in government-funded welfare programmes.
According to investigators, several private educational institutions are suspected of obtaining scholarship funds by allegedly showing fake student admissions, preparing fabricated attendance records and manipulating academic documents. The SIT is cross-verifying bank accounts, fee payment records, admission registers, attendance sheets and other educational documents to determine whether scholarship benefits were disbursed to genuine students or fictitious beneficiaries.
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The investigation also extends to the role of private college managements, trustees, principals, employees and officials associated with the Social Welfare Department. Authorities are examining whether institutional or administrative lapses enabled the alleged misuse of public funds. The Enforcement Directorate (ED) had earlier investigated the money laundering aspects of the broader scholarship scam under the Prevention of Money Laundering Act (PMLA) and attached properties linked to certain accused. Financial transactions and beneficiary trails continue to be scrutinised as part of the ongoing investigation.
One of the most significant findings so far is that a substantial number of students who allegedly received scholarship payments have permanent addresses outside Uttarakhand, particularly in Saharanpur, Muzaffarnagar and several other districts of Uttar Pradesh. This has prompted investigators to undertake detailed verification of students’ admission records, Aadhaar details, bank accounts, academic history and residential addresses. Officials suspect that, in some cases, only paper records may have been created to claim government scholarship funds.
As part of the next phase of the investigation, the SIT will compare digital information available on the National Scholarship Portal with original institutional records maintained by educational establishments. Investigators will also verify students’ physical attendance, examination records, fee receipts and identity documents. Authorities believe that combining digital analytics with physical verification will help identify fake beneficiaries and expose any organised network behind the alleged fraud.
Several educational institutions have come under the scanner, including Gaur Bless Public School, MG Public School, SN Inter College, Saini Private ITI, Jai Bharti Private ITI, SBN Private ITI, Ayurvedic Medical College and Research Centre, Vishva Bharti Public School, Madrasa Noor-e-Hasan, Hannu ITI, Radiance Academy, Ramtirth Higher Secondary School, Roorkee Institute of Technology, Maharshi Dayanand Private ITI, Sanskriti Public School, Phoenix School of Engineering and Business, SDPC Girls Inter College and Om Institute of Education, among others. Investigators are independently examining scholarship claims and institutional records submitted by each of these establishments.
Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said that robust digital verification is essential in Direct Benefit Transfer (DBT)-based welfare schemes such as scholarships. According to him, if fake admissions, forged documents or fictitious beneficiaries were used to obtain government funds, digital forensics, banking trails and data analytics can play a crucial role in uncovering the entire network. He emphasised that stronger Aadhaar-based authentication, real-time data validation, institutional audits and AI-driven risk assessment mechanisms are necessary to prevent similar frauds in the future.
The SIT investigation remains ongoing. Officials said the actual extent of the alleged financial irregularities and the role of individuals or institutions involved will become clear only after the verification of documents, banking records and digital evidence is completed. Any further legal action will depend on the findings of the investigation.
