UPI Fraud: 8 contractual employees at Victoria Hospital allegedly divert Rs 23 lakh

Written By :  Rumela De Sarkar
Published On 2026-02-05 08:45 GMT   |   Update On 2026-02-05 08:45 GMT

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Bengaluru: A major UPI scanner fraud has come to light at Victoria Hospital in Bengaluru, where eight contractual employees, including six women, allegedly misappropriated Rs 23.78 lakh. A case has been registered at Vishweshwarapura (VV Puram) police station following a complaint by the hospital’s Medical Superintendent, through a staff member. 

The accused, outsourced staff members working at the Infosys Lab within the hospital campus, were appointed at the billing counter of the Infosys Lab to collect payments for blood tests and other diagnostic services. According to the complaint, the eight staff members, instead of depositing the collected funds into the government account, allegedly diverted the payments for personal use. 

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Police said UPI scanners had been installed in the hospital premises for the convenience of patients. However, the staff allegedly replaced the official scanners with their personal QR codes and collected payments into their own bank accounts. The fraud reportedly took place across the lab, OPD, and X-ray sections over the past few years, reports
Udayvani
.

Speaking to TOI, Dr Deepak said that suspicions about misappropriation of funds arose a few months ago when some discrepancies were noticed in transactions. "We formed an internal committee and audited transactions from the last few months, and our suspicions were confirmed. This is why we lodged a police complaint. We do not know exactly in which of our 8-10 counters the money was being siphoned off. Now, as the police investigation begins, our auditors will go through our records to determine when exactly the misappropriation began and how much money was diverted so far. As of now, Rs 23 lakh is our estimate."

The police complaint was filed at least five months after the fraud began, as the diversion of funds reportedly began before Dr Kavya assumed charge in August 2025. “As soon as I took charge, I ordered the FIR, but administrative procedures took a few months,” she explained.  

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Police have reportedly issued notices to the accused, and the investigation is ongoing to ascertain the full extent of the fraud.
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