Udupi: Hebri police have registered a case against a staff member of Shivapura Gram Panchayat for allegedly misappropriating ₹4.54 lakh collected from residents as house tax.

The accused has been identified as Manjunath, 40, who was working as a bill collector at the gram panchayat. The case was registered based on a complaint filed by Ashok, the Panchayat Development Officer (PDO) of Shivapura Gram Panchayat.

According to the complaint, Manjunath allegedly collected house tax from residents over two financial years but failed to deposit the money into the gram panchayat’s designated bank account.

₹4.54 lakh allegedly not deposited

The complaint states that the accused collected ₹1,18,367 in house tax during the 2023-24 financial year.

A further ₹3,36,021 was allegedly collected during 2024-25.

Together, the two amounts total ₹4,54,388.

The complaint alleges that despite collecting the money on behalf of the gram panchayat, Manjunath did not remit the amount to the panchayat’s bank account.

The alleged discrepancy came to the attention of the panchayat authorities, following which the PDO approached the police and lodged a complaint.

The allegations concern public money collected through local government revenue mechanisms, making the matter particularly significant from an administrative and financial accountability perspective.

Funds allegedly used for personal purposes

According to the complaint, the bill collector allegedly used the collected money for personal purposes instead of depositing it with the gram panchayat.

The alleged diversion of the funds has been described as misappropriation of public money and a breach of trust.

As a bill collector, Manjunath was responsible for collecting specified local taxes from residents and ensuring that the amounts were properly accounted for and deposited with the panchayat.

The alleged failure to remit the collected amount has therefore raised questions about the handling and monitoring of local government revenue.

The exact circumstances under which the alleged shortfall occurred will be established during the police investigation.

Case registered under BNS and Prevention of Corruption Act

Following the complaint, Hebri police registered a case against Manjunath under Sections 316(4), 318(2) and 314 of the Bharatiya Nyaya Sanhita (BNS).

The case has also been registered under Section 13 of the Prevention of Corruption Act.

The provisions invoked by the police relate to allegations arising from the handling and alleged misuse of the collected funds.

The police have initiated an investigation to verify the allegations and establish the sequence of events.

Investigators are expected to examine relevant panchayat records, tax collection details, receipts, account statements and other financial documents as part of the probe.

Investigation underway

The complaint has alleged that the amount was collected during two consecutive financial years and was not credited to the panchayat’s bank account.

Police will now investigate the records associated with the collections and determine whether the entire amount mentioned in the complaint was collected by the accused and how the money was allegedly handled afterwards.

The investigation may also involve verification of the panchayat’s accounting records and reconciliation of tax collections with bank deposits.

Officials are expected to examine documents relating to individual tax payments to establish the amount collected and identify any discrepancies between the collection records and the panchayat’s accounts.

The police will also determine whether there were any other irregularities connected with the alleged transactions.

Focus on accountability in local bodies

The case highlights the importance of financial controls and regular monitoring of revenue collected by local self-government institutions.

House tax is an important source of revenue for gram panchayats and is used to support local administration and civic services. Proper recording and timely deposit of such collections are therefore essential for maintaining transparency in public finances.

Any alleged diversion of collected revenue can affect the functioning of the local body and undermine public confidence in the tax collection system.

The allegations against Manjunath are yet to be established through investigation and subsequent legal proceedings. The registration of a police case does not by itself establish guilt.

Hebri police are continuing their investigation based on the complaint and available financial records. Further action will depend on the evidence gathered during the probe.