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Madhya Pradesh’s ‘Biggest’ Salary Scam? Nearly 50,000 ‘Ghost’ Govt Employees and Rs 230 Crore Fraud Under Probe

Nearly 50,000 government employees in Madhya Pradesh have reportedly gone unpaid for over six months, triggering a major investigation into a suspected Rs 230 crore salary scam.

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Nearly 50,000 government employees in Madhya Pradesh have reportedly not received their salaries for over six months, prompting a state-level probe into a possible scam involving Rs 230 crore. The investigation, led by the Commissioner of Treasury and Accounts, aims to determine whether these employees are genuine or if their records are part of a larger fraud involving ‘ghost’ employees.

All Drawing and Disbursing Officers (DDOs) have been ordered to verify the authenticity of every employee on their rolls. The finance department maintains that salary disbursement rules are being followed, while the inquiry continues.

Salary Delays Spark Fears of Fraud

The issue surfaced when the Treasury and Accounts Department identified that 40,000 regular and 10,000 temporary government employees had reportedly not been paid since December 2024. Despite possessing valid employee codes, these individuals have not drawn any salary, raising suspicions of either administrative lapses or deliberate fraud. “We conduct data analysis regularly and this discrepancy was observed.

I further clarify unambiguously that it’s not that salary is being drawn against these accounts. This inquiry tries to curb the risk of probable embezzlement which may occur,” said Bhaskar Lakshkar, Commissioner of Treasury and Accounts. All DDOs have been instructed to physically verify each employee and submit detailed reports promptly.

Probe Uncovers Systemic Anomalies

The anomaly was first detected by the state’s Financial Intelligence Cell during an audit of the Integrated Financial Management Information System (IFMIS), which tracks government salary payments. On 23 May, the Treasury and Accounts Department issued a directive to more than 6,000 DDOs to investigate the reasons behind the salary delays.

While some cases may be due to legitimate administrative reasons such as transfers, suspensions, or retirements, the sheer scale of the issue has raised fears of a systemic scam. Notably, there have been no formal complaints from the affected employees, intensifying suspicions about the existence of ‘ghost’ employees—fictitious staff created to siphon off government funds. The investigation remains ongoing, with officials promising transparency in their findings.

The Logical Indian’s Perspective

This situation in Madhya Pradesh highlights the critical need for transparency, empathy, and accountability in public administration. If genuine employees have been left unpaid, their well-being and livelihoods must be prioritised and protected. If a scam is uncovered, it underscores the importance of robust checks and regular audits to safeguard public funds.

The Logical Indian urges authorities to act swiftly, communicate openly, and implement lasting reforms to restore public trust. What measures do you believe can help prevent such incidents and ensure justice for all stakeholders?

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