How an AI Audit Cracked a Rs 2 Crore Salary Scam Running for Three Years Inside Chhattisgarh Police Three constables in Chhattisgarh's Bastar district police have been arrested for allegedly manipulating salary records to illegally withdraw approximately Rs 1.5 crore to Rs 2 crore from government accounts over nearly three years, a fraud uncovered through an AI-based audit. A salary fraud worth approximately Rs 2 crore, buried inside routine payroll records for nearly three years, has been busted in the Bastar district police department in Chhattisgarh. The case stands out not only because of the scale of the alleged embezzlement but also because of how it was caught: not by a human auditor or a whistleblower, but by an AI-based audit system that flagged abnormal spikes in salary payments. Three police constables have been arrested in connection with the case. What the AI Audit Found Bastar Superintendent of Police Shalabh Kumar Sinha stated that both internal and external audits were conducted at the SP office. During this process, an AI-based review flagged an unusual increase in salary expenditure that had gone unnoticed until then. Taking the alert seriously, investigators conducted a detailed examination of payroll records, which revealed large-scale manipulation. The AI tools picked up abnormal patterns in salary payments that had stayed invisible to human reviewers for months. Investigators then went through salary records, soft copies of data, and banking transactions in meticulous detail, piecing together the full picture of an alleged embezzlement running into crores of rupees. The Mastermind and His Method The three arrested constables are Girish Rai, Rajkumar Katlam, and Hemant Matthew. Police consider Girish Rai to be the mastermind of the entire scheme. He had been posted as an assistant in the salary branch of the SP office since 2012, appointed on compassionate grounds. Rajkumar Katlam and Hemant Matthew were serving in other branches of the department. Investigators established that Girish Rai would alter the soft copies of salary records before the payroll processing cycle began each month. Through this method, he inflated his own salary and those of the other two constables, allowing additional amounts to be drawn from government accounts. Girish Rai confessed to the crime during questioning. According to police, between October 2023 and May 2026, a period of approximately three years, the accused illegally withdrew approximately Rs 1.5 crore to Rs 2 crore from government accounts. The Fake Loan Scheme Investigators uncovered a second technique used to siphon funds. Girish Rai told certain employees that their salaries were being increased because they were being given a loan. He would then collect the inflated portion back in cash, presenting it as a loan repayment or instalment. Police have identified the employees whose salaries were inflated in this manner and who allegedly benefitted from the arrangement. All of them are now being questioned to determine whether they were willing participants in the conspiracy or were simply used without their knowledge. Why the Fraud Went Undetected for Years Police officials explained that salary expenditure in the police department fluctuates naturally every month due to staff transfers, new postings, and changes in total headcount. This built-in variability made incremental increases in individual salary payouts look like routine operational changes. The accused deliberately exploited this, adding small amounts to their own salaries and those of a few others each month. Since no single increase was large enough to raise immediate suspicion among human reviewers, the fraud ran undisturbed for months and eventually stretched across years. FIR Registered, All Three Accused Remanded to Judicial Custody After the investigation concluded, a case was registered on 29 June at Jagdalpur police station against all three constables under sections covering fraud, forgery, criminal breach of trust, and embezzlement of government funds. The following day, all three were produced before a court, which remanded them to judicial custody. Police are continuing to probe the matter, including examining the roles of other employees who may have received inflated salary payments as part of the scheme. What this means for you • Across India: This case shows that AI-based audits can surface financial fraud buried in government payroll records that human reviewers consistently miss, offering a practical tool to protect public funds. • In Chhattisgarh: The Bastar police department faces scrutiny over weak internal financial controls, and employees who allegedly received inflated salaries are being investigated to establish their involvement. Questions & Answers 1. How much money was fraudulently withdrawn in this salary scam? Approximately Rs 1.5 crore to Rs 2 crore was illegally withdrawn from government accounts between October 2023 and May 2026. 2. Who committed the fraud and how was it done? Constable Girish Rai, posted as an assistant in the SP office salary branch, altered soft copies of salary records before payroll processing to inflate his own and two other constables' salaries. 3. How many people have been arrested and who are they? Three constables have been arrested: Girish Rai, Rajkumar Katlam, and Hemant Matthew. 4. How did the AI detect the fraud? During an audit at the SP office, an AI-based review flagged abnormal increases in salary expenditure, which prompted a detailed investigation that uncovered the full extent of the manipulation. 5. What was the fake loan scheme used in this case? Girish Rai told certain employees their salaries were being increased because they were receiving a loan, then collected the inflated amount back in cash under the guise of loan repayments. 6. Why did the fraud go undetected for so many years? Because police department salary expenditure naturally varies each month due to transfers and new postings, the small incremental increases blended in as routine fluctuations and raised no suspicion. 7. What charges have been filed against the accused? A case was registered on 29 June at Jagdalpur police station under sections covering fraud, forgery, criminal breach of trust, and embezzlement of government funds. 8. Why is Girish Rai considered the mastermind? Girish Rai had been posted in the SP office salary branch since 2012 and was the person who devised and executed the entire scheme of manipulating salary records each month. https://trendkia.com/en/chhattisgarh/bastar-pulisa-men-ai-ne-2-karora-ke-vetana-pharjivare-ka-bhndaphora-kiya-tina-sipahi-giraphtara-3839 TrendKia — Har trend, sabse pehle.