ZP executive engineer suspended for diverting Rs 21 crore rain relief fund

Madikeri: An executive engineer of Kodagu Zilla Panchayat has been suspended for misappropiation of funds meant for flood relief work.

The officer, Srikantaiah had deposited a cheque of Rs 21 crore sanctioned for flood relief works to his private bank account, held with Kotak Mahindra Bank and had later used the money for various works.

Karnataka Rural Development and Panchayat Raj minister K S Eshwarappa and Kodagu district in-charge minister V Somanna issued the order for his suspension after the charges against him were proven.

A sum of Rs 28 crore had been sacntioned towards flood relief works in the district, out of which Deputy Commissioner Anees Kanmani Joy had issued a cheque of Rs 21 crores to the Panchayat Raj department of ZP with instructions to maintain it in a separate account.

However Srikantaiah deposited the amount in his private bank account. Notably he managed to do so without taking requisite permission from the revenue department and the district administration.

The money so deposited was used towards other project works and a balance of Rs 21 lakh is now left in the account.

ZP CEO Lakshmi Priya ordered a probe after Shivu Madappa, a Zilla panchayat member and other members demanded an inquiry into the allegations.

The inquiry report, in which Srikantaiah was found guilty was submitted to the government, recommending to take stringent action against him.