Sikkim Vigilance Police arrest Tourism Department official in multi-crore salary fraud case

The Sikkim Vigilance Police (SVP) on Tuesday, August 11, arrested a Head Assistant of the Tourism Department in connection with an alleged multi-crore government salary fraud and misappropriation case involving officials of the Gangtok District Zilla Panchayat (GDZP).

According to a press release issued by the Vigilance Directorate, the accused has been charged with conspiracy and allegedly receiving funds in her bank account that were fraudulently withdrawn from government accounts belonging to the GDZP and the Jal Jeevan Mission Security Deposit.

A search of her residence reportedly led to the recovery of incriminating materials relevant to the investigation. She is currently in custody for further interrogation, the release said.

The case was registered following a written complaint by the Sachiva, GDZP, which led to the filing of an FIR at the SVP Police Station against multiple public servants on charges of conspiracy, cheating and forgery.

Investigators allege that between 2018 and 2025, officials responsible for preparing the monthly salary bills of GDZP employees illegally inflated their own salaries and forwarded falsified and fabricated payee lists to the bank for disbursement.

The inflated amounts were allegedly credited directly into the personal bank accounts of three accused officials. The Vigilance Police said the officials continued to draw the inflated salaries, causing an undue financial loss running into crores of rupees to the government exchequer.

The investigation has also revealed allegations of large-scale diversion of funds from various other official GDZP accounts, the release said.

Tuesday's arrest is the fourth arrest in the case. The SVP had earlier arrested two accountants and a Senior Accountant-cum-Drawing and Disbursing Officer of the GDZP in connection with the alleged fraud.

The Vigilance Police said the investigation is part of its continued efforts to curb corruption and ensure integrity, transparency and probity in public administration.

It also urged citizens to come forward with complaints or information relating to corruption, misconduct or malpractice involving government servants.