Fraud alert at treasury: Bokaro police accountant arrested for diverting Rs 4.29 crore; investigation reveals systemic lapses and immediate personnel changes

Bokaro: An accountant with Bokaro police was arrested on Tuesday for allegedly diverting over Rs 4.29 crore from the district treasury into his wife’s account. The accused was identified as Kaushal Kumar Pandey.

The fraud came to light on Monday, when suspicious withdrawals initially pegged at Rs 3.15 crore under a sub-inspector’s salary head were flagged. Subsequently, Bokaro deputy commissioner Ajay Nath Jha ordered a probe, while SP Harvinder Singh directed the DSPs of headquarters and city to conduct a detailed inquiry at the accounts wing of the SP’s office.

“Investigators found that between 2023-24 and 2025-26, a total of Rs 4,29,71,007 was fraudulently withdrawn in 63 transactions over 25 months, from Nov 2023 to March 2026. The withdrawals were made in the name of havildar Upendra Singh, who superannuated in July 2016, raising serious concerns over systemic lapses,” said Singh.

““During interrogation, the accused admitted to manipulating the retired personnel’s details on the govt portal. The funds were then diverted into a bank account belonging to his wife, Anu Pandey, effectively masking the fraudulent trail for an extended period,” he said. Police found the money was diverted to his wife’s bank account, from where it was transferred to Pandey’s account and withdrawn. After the fraud came to light, both bank accounts were seized.

Based on a complaint filed by district treasury officer Gulabchand Oraon, an FIR was registered at City police station under relevant sections of BNS against Pandey. He was sent to judicial custody on Tuesday. “Police have seized two mobile phones, which are being examined for further evidence,” said the SP.

The DC on Tuesday conducted a surprise inspection of the district treasury office, leading to the removal of two assistant accountants Shailendra Singh Choudhary and Chandan Kumar Rajak over suspected irregularities. Angad Kumar from the social security office and Khagen Das from the district land acquisition office were deputed in their places.

Earlier in the day, Jha chaired a meeting with drawing and disbursing officers and said that “even the slightest financial irregularity would not be tolerated”. He ordered a detailed audit of withdrawals made over the last three financial years and directed officials to strictly follow treasury rules.

Pandey was employed with Bokaro police from 2018.