Private firm director booked for siphoning off ₹4.5 lakh from employee provident fund

Police said, the director of the company allegedly did not deposit Rs2.18 lakh (company’s contribution) and Rs2.36 lakh (employee’s contribution) in the EPFO accounts of the 21 employees

A director of a private firm located on Pune-Satara road has been booked for allegedly siphoning off Rs4.5 lakh from provident fund payments of employees.

A case is registered under Section 420 (cheating) of the Indian Penal Code against the accused at Wanowrie police station. (REPRESENTATIVE PHOTO)

It has been alleged that the director of the firm was deducting money from employees’ wages in the pretence of paying provident fund contributions. However, the funds were not deposited in the EPFO (Employees’ Provident Fund Organisation) account, which is mandated by the government.

Police said, the director of the company allegedly did not deposit Rs2.18 lakh (company’s contribution) and Rs2.36 lakh (employee’s contribution) in the EPFO accounts of the 21 employees and hence a case was registered.

The alleged syphoning of the money that began in August 2019 did not come into the limelight until June 2022. Later it was discovered that a total of Rs4.5 lakh was being siphoned off which was deducted from the salary of the employees over the years by the director of the firm for his personal gains.

A case is registered under Section 420 (cheating) of the Indian Penal Code against the accused at Wanowrie police station.