EPFO Fraud Revealed: losses estimated at up to Rs 1,000 cr: reports

The EPFO branch in Mumbai has reportedly uncovered a massive fraud that could have losses running into a Rs 1000 cr as per reports.

ET reports that staff at a Mumbai suburban office of EPFO allegedly created bogus accounts and transfer funds or settle claims in defunct companies such as Jet Airways. An internal inquiry is underway to ascertain what the actual loss to provident fund body is.

Unnamed sources told ET that PF accounts of many pilots or crew members of Jet Airways were allegedly misused to siphon off funds, which reportedly benefited some EPFO officials working at Kandivali office.

This is not the first case of fraud at this EPFO branch. EPFO’s Kandivali office was also mired in another fraud case in February when the Central Bureau of Investigation (CBI) filed an FIR against eight EPFO employees who reportedly siphoned off Rs 21.5 crore via 817 migrant workers’ bank accounts.

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