CVC probes into flying schools fraud

Schools allegedly acted as non-profit organisations and avoided payments of full fee of their operations

PTI | February 28, 2012



The Central Vigilance Commission (CVC) is looking into alleged irregularities by some flying schools operational across the country for violating norms and causing a loss of about Rs 190 crore to the exchequer.

Sources said these flying schools allegedly acted as non-profit organisations and trusts with no financial gains and avoided payments of full fee of their operations.

They said the anti-corruption watchdog has written to Ministry of Civil Aviation to get the matter investigated and submit its report.

"A complaint was received late last year. The complainant has alleged that about two dozen non-profit organisations, societies and trusts were operating flying schools and avoiding payment of full fee. After perusing the complaint, the Commission decided to get the matter thoroughly investigated," a senior CVC official said.

According to the official, the matter is now being looked into by the Chief Vigilance Officer of the Civil Aviation Ministry.

As per norms, non-profit organisations are given concession on payment of fee to the government.

"Prima facie, it appears that there have been irregularities and a probe was needed. As per the complaint, there appeared to be a loss of about Rs 190 crore to the Government," the official said.

Sources in the anti-corruption watchdog said that the investigation in the matter will be done by CVO of the Civil Aviation Ministry and a report will be submitted within 30 days to the Commission.

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