Daijiworld Media Network – Udupi (TP)

Udupi, Oct 6: A large-scale insurance fraud has come to light involving two former employees of a private insurance firm, who allegedly issued fake insurance policies to multiple schools across Udupi and surrounding areas.

Speaking at a press conference held at the Udupi SP office on Monday, October 6, superintendent of police Hariram Shankar stated, “The accused, Rakesh S (33), a resident of Brahmavar, and Charan Babu Mesta from Sirsi, were previously employed by the insurance company. They reportedly visited schools in and around Udupi district, offering insurance cover for school buses while falsely claiming to represent private insurance firms. Believing the policies to be genuine, several schools accepted the offers.”

The fraud came to light after a school bus was involved in a collision with an auto-rickshaw in Kundapura, prompting the school authorities to file an insurance claim. Upon investigation, officials discovered that the submitted documents were forged.

Preliminary findings indicate that Rakesh issued around 20 fake insurance policies, while Charan issued 17. Investigators suspect that Charan Babu Mesta had been operating the fraudulent scheme from his residence. In total, approximately 46 bogus policies have been unearthed so far, amounting to a scam valued at nearly Rs 1.5 crore.

More than five schools are believed to have fallen victim to the scam. SP Hariram Shankar has urged all educational institutions to verify their policy numbers directly with the respective insurance company prior to policy renewal or claim submission.

The police are continuing their investigation, and further legal action is expected as the full extent of the fraud is uncovered.