Cattle insurance scam busted, 2 held

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Bhubaneswar: After ghost ration cards, it’s ghost cattle insurance that has come to the notice of the government following which two persons were arrested for alleged misappropriation of funds.

Vigilance sleuths arrested a senior manager of the insurance company and a government official in connection with the scam.

As per police, the accused forged documents and created fictitious accounts to insure livestock (cattle) where the insured only existed on records. In 2009-10 fiscal, the state government had to shell out Rs 3.80 lakh towards insurance premium of the cattle in Sambalpur district. 

It is alleged that the insurer, Orissa Livestock Resources Development Society (OLRDS) and veterinary officials were hand in glove to siphon off the funds.

“Sambalpur CDVO has not issued any document specifying the number and type of livestock to be insured at Oriental Insurance Company. But forged policies have been issued to two agents’ credit,” Vigilance SP of Cuttack Division Amulya Mohanty said.

After reports of swindling, the vigilance sleuths swung into action and arrested the duo.

Moreover, the insurance company was delisted and made to pay back the money to the OLRDS. Besides, the functioning of the latter is under scanner.

Animal Husbandry Minister Ramesh Majhi said, the matter will be investigated.

“The government has blacklisted the company and no policies would be accepted from them,” Minister Ramesh Majhi said.

It may be mentioned here that the Centre-sponsored scheme has been implemented in 9 districts in the state including Sambalpur and Puri.

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