ED Unveils Massive Scam: Hyderabad-Based Non-Profit Misused RTE Funds, Faked 'Jogini' Stories to Attract Foreign Donations

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The Enforcement Directorate (ED) has uncovered a massive scam involving a Hyderabad-based non-profit organization, Operation Mercy India Foundation (OMIF), which allegedly misused funds meant for underprivileged students under the Right to Education (RTE) scheme. The ED conducted searches and attached ₹15 crore worth of assets of OMIF, which runs the Good Shepherd Schools programme. According to the ED, the schools collected regular fees and other charges from students, including those who were supposedly fully sponsored, and generated 'proceeds of crime' through this method. The schools also received government aid but diverted the reimbursements to OMIF's head office accounts instead of reimbursing the students. The ED found that the organization concealed significant amounts collected from students and government sources from donors who believed they were funding free education. The agency identified ₹15.37 crore as the proceeds of crime arising from the diversion of student collections and government subsidies. The ED also alleged that OMIF misrepresented ordinary school students as 'joginis' (a term used to refer to devadasis or temple dancers) to foreign donors to solicit higher sponsorship amounts. The organization uploaded images of regular students and unrelated kids on donor websites and social media, portraying them as 'joginis'. Donations for 'jogini rehabilitation' ranged from USD 60-68 per month, compared to USD 20-28 per month for regular student sponsorship. The ED further alleged that the Good Shepherd Community Society, a group entity engaged in religious activities, used the fees paid by parents for church-related expenditures and acquisition of immovable properties. The probe found that the accused diverted funds to affiliated entities for their core activities and used them for extravagant foreign travel, including business-class air travel by a key functionary, Dr Joseph Gregory D'Souza. The Ministry of Home Affairs has ordered non-renewal of the FCRA licence of multiple OM India entities and frozen their accounts. The ED's findings have sparked outrage and raised questions about the misuse of funds meant for underprivileged students.