In a startling revelation, authorities in Seoni district, Madhya Pradesh, have uncovered a massive financial fraud involving false compensation claims for natural deaths. Between 2018 and 2022, scammers exploited loopholes in the compensation system to submit fake death claims, particularly citing causes such as snakebites, drowning, and lightning. In the most egregious cases, a man was falsely reported to have died 30 times from snakebites and a woman 29 times. These repeated fraudulent claims allowed the culprits to siphon ₹11.26 crore from government funds.
The scam came to light through the efforts of the Joint Director of Jabalpur, prompting further investigations to understand how such claims bypassed routine verification processes. Additionally, a Comptroller and Auditor General (CAG) audit has indicated that broader irregularities totaling ₹23.81 crore may exist, pointing to serious vulnerabilities in the state’s digital governance and compensation disbursement systems.
This incident underscores the urgent need for robust oversight mechanisms and transparency in public welfare programs to prevent such exploitation of government funds.
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