Kollam/Kottayam, Kerala: Akhil C Varghese, the absconding clerk accused in the Rs3 crore pension fraud at Kottayam municipality, was arrested by the vigilance team from a lodge in Kollam on Wednesday.
A native of Kollam, Varghese had worked as a clerk in Vaikom and Kottayam municipalities. Between 2020 and 2023, he allegedly diverted around Rs3 crore from the pension fund using fraudulent means.
The scam came to light during an annual audit, which revealed major discrepancies. Following the discovery, the municipal secretary filed a police complaint, prompting an investigation. A fake account in the name of P Shyamala was traced, into which large sums were regularly transferred.
Authorities had frozen Varghese’s passport fearing an escape attempt abroad. His arrest comes nearly a year after the fraud was uncovered. He was produced before the vigilance court and remanded to judicial custody. Police plan to seek further custody for detailed interrogation.
Varghese joined government service in 2011 and had a history of financial misconduct, including a suspension from Kollam Corporation. Afterward, he was posted to Erattupetta and later Kottayam, where the scam reached its peak.
