Bengaluru: A case was registered in connection with an alleged Rs 70 crore scam at the Employees’ Provident Fund Organisation (EPFO) Staff Cooperative Society.The complaint, filed by CJ Muralidhar, president and section supervisor of the society, at Cubbon Park police station Friday, states the current CEO, G Gopinath, former CEOs Lingappa Gowda and Prabhakar, former accountant BL Jagadish, former presidents Vijendra Rao and Jayashankar, and others are involved. The complainant is in charge of providing loans to the employees of EPFO and fixed deposits to the retired officers and staff. He took charge as the president in Feb this year. Around 300 employees and retired employees have deposited FD money, totalling about Rs 70 crore in the society. He also made an FD of Rs 45 lakh. The depositors are supposed to get 9 per cent interest. However, the society didn’t make any payments to the accounts of the depositors for the last three months. The board meetings were also not held. When depositors wanted to withdraw the money, the CEO informed them there was no money in the account. When the documents were verified, it was revealed the society received Rs 70 crore in deposits from 300 people, but only Rs 3.5 crore was issued as loans. The complainant alleged that from 2009 until the complaint was filed, the accused persons misused the funds and created fake records. Police have registered a case and are investigating.
