Two booked after Rs 4.73 crore embezzlement at private company surfaces

Lucknow: A financial irregularity amounting to Rs 4.73 crore has been reported at a private company in Lucknow, with two senior officials accused of embezzlement and financial manipulation. Acting on the directions of the Deputy Commissioner of Police (East), Vibhuti Khand police have registered an FIR.

The complaint was filed by assistant manager Piyush Chaturvedi of CP Milk and Food Products, located in Vibhuti Khand. He alleged that assistant manager (finance and accounts) Varun Asthana and senior executive Anil Kumar misused their positions to siphon off company funds over several years. Varun had been associated with the firm since August 2014, while Anil joined in May 2017, and both were entrusted with key financial responsibilities.

The alleged fraud surfaced during an internal audit conducted on Feb 4.

The audit flagged serious discrepancies in vendor payments and financial records. A subsequent investigation revealed that nearly 0.4% of transportation charges from around 390 vendors’ accounts was being diverted, leading to a total embezzlement of approximately Rs 4.73 crore.

Further probe revealed that payments meant for farmers were diverted to unauthorised accounts. The company, which regularly pays nearly 4,000 farmers, found that in at least 15 cases, the accused had replaced farmers’ bank details with their own. When farmers raised complaints about missing payments, they were allegedly misled.

Both accused reportedly went on leave shortly after the audit findings emerged. Vibhuti Khand SHO Amar Singh said police are now examining financial records and bank transactions to uncover the full extent of the fraud.