Mysuru: The Central Bureau of Investigation (CBI) has arrested two employees of the Department of Posts of India (India Post) in connection with the alleged misappropriation of Rs. 1.3 crore from customers’ postal savings accounts in Mysuru district.
The accused, postal assistant Deepak and postman Karaiah of Shanthapura Post Office under the Saragur postal division, allegedly misused the login credentials and passwords of 44 postal savings accounts to siphon off funds into their own accounts and those of their relatives.
The fraud came to light in May 2025 when a customer visited the Saragur Post Office during Deepak’s absence and noticed discrepancies in the account. Complaints from customers prompted Mysuru Division Senior Superintendent of Post Offices Harish to order an internal inquiry. A Departmental team subsequently examined nearly 26,000 accounts across 12 post office branches. The audit confirmed that 44 accounts had been compromised, though officials suspect more customers may have been affected.
Between 2022 and 2025
Speaking to Star of Mysore, Harish said, the accused had systematically diverted customers’ deposits between 2022 and 2025. The money was transferred through multiple accounts before being withdrawn, making it difficult to trace the transactions.
Investigators also found that some postal employees, misled by Deepak, had unknowingly facilitated the fraudulent transactions. They were initially suspended but reinstated after the departmental inquiry found no evidence of their involvement.
Following the preliminary findings, the Department of Posts issued notices to the accused on April 25. However, according to Harish, they denied the allegations and did not cooperate with the departmental inquiry.
Handed over to CBI
As the Department of Posts functions under the Central Government, the case was subsequently handed over to the CBI. “While minor irregularities have surfaced in the past, a fraud involving Rs. 1.3 crore is unprecedented in the Mysuru postal division,” Harish said.
Based on a written complaint from the Postal Department, the CBI registered a case in March 2026 under the Prevention of Corruption Act and relevant provisions of the Bharatiya Nyaya Sanhita, 2023, including criminal conspiracy, cheating, criminal breach of trust and forgery.
A CBI team from the Ganganagar branch in Bengaluru arrested the two accused and produced them before the CBI Special Court in Bengaluru, which has handed them over to CBI custody. They are currently being questioned to trace the diverted funds and the fraud.
This post was published on July 9, 2026 7:30 pm