A significant financial fraud has been uncovered in Uttar Pradesh's Farrukhabad district, involving the Prime Minister's Crop Insurance Scheme (PMCIS). Investigations have revealed that a sum of Rs 68 lakh was illegally transferred as crop loss compensation to 35 farmers who own no agricultural land.
FIRs Filed Against Bank and Insurance Officials
The scam came to light after the Deputy Director of Agriculture filed two separate First Information Reports (FIRs). These name 32 farmers as accused, out of which 14 are confirmed to be landless. The authorities have also booked nine bank branch managers and three crop insurance company personnel for their alleged involvement in orchestrating the fraud.
The case pertains to the 2024 Rabi season, where HDFC Ergo General Insurance Company had insured crops of 8,849 farmers in the district. Following reported crop damage, the insurer disbursed claims worth Rs 2.28 crore to 232 farmers. Suspiciously, this included substantial payments of around Rs 4 lakh each into the accounts of several individuals who did not possess any farmland.
Probe Ordered by District Magistrate Exposes Scam
District Magistrate Ashutosh Kumar Dwivedi initiated a detailed probe after noticing that compensation exceeding Rs 1 lakh had been paid. The investigation, carried out by the naib tehsildar, kanungo, and the Agriculture Development Officer (ADO), confirmed that the beneficiary farmers were landless and held no property at the locations mentioned in the insurance records.
The entire Rs 68 lakh payout was made in direct violation of PMCIS rules, which mandate that only genuine farmers with cultivable land are eligible for coverage and subsequent compensation for crop loss.
Police Cases Span Multiple Police Stations
At the Jahanganj police station, an FIR was registered against 11 farmers from Banthalshahpur village, along with employees of HDFC Ergo, including representatives Arun Kumar and Praveen Pal. Branch managers and staff from the Bank of India's Mohammadabad branch and the State Bank of India's Madanpur branch were also named, alongside 11 unknown farmers.
Simultaneously, at the Amritpur police station, another case was filed against Praveen Pal, Vikas Kumar, and Arun Kumar of HDFC Ergo. The complaint also targets branch managers and employees of Bank of India branches in Rajalmai, Ganipur Jogpur, and Madanpur, Aryavart Bank branches in Gandhi and Amritpur, and the Union Bank of India in Farrukhabad, along with 21 unknown farmers.
Shocking Findings from Gram Panchayat Records
A granular investigation in the Balipatti Rani gram panchayat under Amritpur tehsil yielded startling results. Out of 15 farmers who received insurance claims, 14 were found to have no land whatsoever. These 14 individuals collectively received Rs 24.89 lakh illegally.
The one farmer who did own land possessed a mere 0.026 hectares. While the legitimate claim for this tiny plot was calculated at Rs 2,228, the farmer was paid a staggering Rs 2,57,160, resulting in an excess payment of Rs 23,487.
Deputy Agriculture Director Arvind Mohan Mishra confirmed that based on the investigation report, cases have been formally filed against the nine bank managers and three insurance company employees. He added that further probe is currently underway to uncover the full extent of the fraud and identify all involved parties.
