CBI Arrests Railway Engineer in Vijayawada While Allegedly Accepting ₹15 Lakh Bribe in ₹179.50 Crore Signalling Project Case
Vijayawada, August 16, 2026: The Central Bureau of Investigation (CBI) has arrested a Senior Section Engineer posted in the office of the Chief Signal and Telecommunications Engineer (CSTE), Projects, South Central Railway, Vijayawada, along with a private individual, in an alleged bribery case involving ₹15 lakh. The case concerns a railway signalling project worth ₹179.50 crore and an alleged attempt to secure the approval and release of a bonus claimed by a joint venture of two private companies.
According to the CBI, the arrests followed a trap operation conducted on August 16, 2026, after the agency received information about an alleged bribery arrangement involving railway officials and representatives of private companies. The investigation is focused on allegations that official records relating to a bonus claim were manipulated to provide undue benefits to the private joint venture.
Alleged Irregularities in a ₹179.50 Crore Railway Project
The case centres on an Automatic Block Signalling project awarded by South Central Railway to a joint venture comprising two private companies. The project was valued at approximately ₹179.50 crore.
According to information received by the CBI, the joint venture claimed a bonus of around ₹7 crore on the grounds that it had completed the work ahead of schedule. Such claims require examination and approval through the relevant official procedures before the amount can be sanctioned and released.
However, the CBI alleged that officials in the office of the Chief Signal and Telecommunications Engineer (CSTE), Projects, South Central Railway, Vijayawada, manipulated or altered dates recorded in the bonus-related file. The alleged changes were reportedly intended to extend undue favour to the joint venture and facilitate the approval of its bonus claim.
The agency is investigating the circumstances surrounding the processing of the bonus claim and the alleged role of the railway engineer in the arrangement.
₹15 Lakh Bribe Allegedly Arranged Through a Private Individual
During the preliminary inquiry into the alleged arrangement, the CBI received information that the managing director of one of the private companies had communicated with the accused Senior Section Engineer regarding the delivery of a bribe.
According to the agency, the managing director allegedly informed the engineer that his son would deliver the money on August 16, 2026, while travelling from Visakhapatnam to Vijayawada.
The alleged payment was reportedly intended as a reward for facilitating the sanction and release of the bonus amount claimed by the company associated with the managing director.
Following the information received, the CBI registered a case on August 16, 2026, against the Senior Section Engineer, four representatives of private companies, and other unidentified public servants and private individuals in connection with the alleged demand and acceptance of the bribe.
CBI Trap Operation Leads to Arrests
After registering the case, the CBI conducted a trap operation on August 16, 2026, to catch the accused during the alleged exchange of money.
During the operation, the Senior Section Engineer was reportedly caught red-handed while accepting ₹15 lakh from the private individual. According to the CBI, the money was allegedly being delivered in connection with the approval and release of the bonus claimed by the joint venture.
The agency confirmed that the entire alleged bribe amount of ₹15 lakh was recovered during the trap proceedings.
The operation resulted in the arrest of the Senior Section Engineer and the private individual on the same day. The arrests represent a significant development in the investigation into the alleged irregularities surrounding the railway project’s bonus claim.
Searches Underway at Four Locations
Following the arrests, the CBI began conducting searches at premises associated with the accused in Visakhapatnam, Vijayawada, Pithapuram and Hyderabad.
The searches form part of the agency’s efforts to gather additional evidence relating to the alleged bribery arrangement, the processing of the bonus claim and the possible involvement of other individuals.
The investigation is also examining the alleged manipulation of dates in the official bonus file and the circumstances under which the claim was processed. The agency is seeking to establish the roles played by the railway engineer, the private individual and the other persons named in the case.
Accused to Be Produced Before the Court
According to the CBI, the arrested Senior Section Engineer and the private individual were scheduled to be produced before the competent court at Vijayawada on August 17, 2026.
The investigation remains ongoing, and further details may emerge as the agency examines the evidence recovered during the trap operation and searches.
The case highlights the importance of transparency and accountability in public infrastructure projects, particularly those involving large financial contracts, performance bonuses and official approvals. Allegations of bribery and manipulation of records can undermine confidence in public procurement and the fair implementation of government projects.
The CBI has continued its investigation to determine the full extent of the alleged misconduct and identify any other individuals who may have been involved.
News Source: Central Bureau of Investigation (CBI) – Official Press Release
