Madras university uncovers payment scam

Chennai: Bringing yet another scam to the light, the Institute of Distance Education (IDE) in University of Madras has uncovered a major scam in which candidates and crooks joined hands to cheat the University by manipulating challans.

The racket, which operated for many years, came to light when IDE officials conducted financial reconciliation with bank accounts and IDE records.

So far, IDE has recovered around Rs 2.5 lakh from 50 students found paying less after the accounting process.  

Soon after the exam sam at IDE reported by Deccan Chronicle, the details of the challan scam has emerged.

Candidates, who want to enroll in IDE courses used to pay admission and tuition fee through challans at the Indian Bank branch in the university campus.

The agents in connivance with the clerical staff at the bank and IDE, offered the students a ‘new way’ to just pay half of the amount of the original fee to get admissions in courses like MBA and MCA.

As per the instructions the student will leave the some space in the beginning and fill the challans with one digit less.

For example, the course fee for MBA is '8,450. But the students will fill only Rs 450 and pay the amount at the bank counter.

After that, they would give the challan at a particular counter. The agent or the staff then will add another digit in the chalan. Students who just paid half the amount will get study materials and admission slip like the rest of the candidates.  
“During the financial reconciliation, the two sets of records showed that figures varied between the amount which was deposited in the bank and the amount mentioned in the challans,” a source said.

The difference shown in the account was so huge that IDE immediately stopped issuing certificates to candidates and has put in place a new mechanism.

“As per the new system, students who get clearance for paying the full amount alone can get course completion certificate and mark sheets,” an official from IDE said.

“We do not have any direct evidence for the scam. So, we could not initiate any action against the staff members of IDE and bank who were involved in the scam,” he said.

IDE has recovered only Rs 2.5 lakh whereas the estimated loss could be run into several lakh rupees.

“We could not do anything about those who have passed out and got their certificates. The current students can get their certificates only after paying their dues. A periodical financial reconciliation or auditing could have prevented it,” the official said.

Learning from the experience, the university has introduced computerized challans and even introduced online payment system.

When enquired about the challan manipulation, S. Duraisamy, Vice-Chancellor, University of Madras, said that no manipulation took place after he took charge.
“We have introduced online payment system to prevent such malpractices. Soon, IDE will undergo a major change to plug in loopholes in the existing system,” he said.

How they cheated the university?

As per the instructions from the agents, students will leave the some space in the beginning and fill the challans with one digit less.

For example, the course fee for MBA is Rs 8,450. But the students would fill only Rs 450 and pay the amount at the bank counter.

After that, they would give the challan at a particular counter. The agent or the staff then will add another digit in the chalan. Students who just paid half the amount will get study materials and admission slip like the rest of the candidates.