Former manager of Gopalpur branch of UCO Bank V. Kamma and Additional District Fisheries Officer (ADFO) of Ganjam district in Odisha Chintamani Behera were arrested by the police on charges of misappropriation of subsidy money for Phailin cyclone-hit fishermen.
They were allegedly involved in a racket for misappropriation of over Rs. 1 crore meant for Phailin hit fishermen. Both were arrested and sent to jail as their bail plea was rejected by court.
Kamma had earlier been suspended by the UCO Bank authorities for his alleged involvement in the scam. On February 11 this year, the police had arrested owner of a firm named Om Shiva Traders, M. Sarita, and her husband M. Damburu in the same case.
This firm was providing new boats and nets to fishermen of Ganjam district coast who had lost their means of livelihood in the devastating Phailin cyclone of October 2013. Investigations had proved that this firm with support of the arrested bank official and the ADFO had misappropriated over Rs.1 crore from the Rs.1.10 crore provided to it by government by not supplying new boats and nets to 71 fishermen.
After the cyclone, the government had declared to provide a loan of Rs. 1,43,825 to each of the affected fishermen for procurement of new boats and nets. Of this amount, the government had provided subsidy of Rs 1 lakh to each fisherman. For Gopalpur area, the fisheries department had identified 77 fishermen and the above-mentioned firm had been entrusted to provide new boats and nets to these fishermen. Till December 2014, these fishermen had not received the promised new boats and nets. Following their complaint, the administration had initiated enquiry which had led to suspension of the bank manager.
