IISc employee arrasted for`80 lakh student travel fund fraud

Bengaluru: The Sadashivanagar police have arrested two outsourced employees of the Indian Institute of Science (IISc) for allegedly embezzling ₹80 lakh that had been sanctioned for students’ foreign travel.

The accused, identified as V. Soundarya and R. Deepika, were working as temporary secretarial assistants at IISc through an outsourcing agency, Sri Venkateshwara Enterprises. Police said both were involved in manipulating financial documents and diverting sanctioned funds meant for student travel advances into their family members’ bank accounts.

According to police, the duo forged approval orders related to student travel grants and illegally changed bank account details of beneficiaries. The fraud came to light during an internal audit by IISc authorities, who discovered irregularities in multiple transactions. Upon interrogation, both accused allegedly confessed to their role in the embezzlement.

Based on a formal complaint filed by IISc Registrar Sridhar Warrior, a case was registered under various sections of the Indian Penal Code, including cheating, forgery, criminal breach of trust, and misuse of public funds. Police confirmed that both suspects have been remanded to judicial custody following their arrest.

The complaint stated that the two had tampered with sanctioned orders, fabricated documents, and diverted funds without authorization. IISc’s internal inquiry report highlighted how the accused exploited their access to sensitive financial systems to misappropriate the funds.

Police officials said the investigation is ongoing to determine whether any senior staff members or external agents were involved in the fraud. The case has raised concerns within the prestigious institute over lapses in internal oversight and the handling of outsourced personnel. Authorities at IISc have assured that measures are being taken to strengthen financial monitoring mechanisms to prevent such incidents in the future.