Academic institutions run by Amit Kumar alias Bachcha Rai, the alleged kingpin of the Intermediate topper scam, had received government grants worth Rs 1 crore last year for outstanding performance in the Class XII examinations.
A senior police officer, who is part of the special investigation team (SIT) probing the scam, told The Telegraph on Sunday that the Vishun Roy Memorial Welfare Trust set up by Bachcha was provided the grants in two instalments of Rs 50 lakh each.
The revelation was made before the SIT by Veena Devi, an assistant professor at the Vishun Roy College in Vaishali that is the epicentre of the scam, during her interrogation.
Veena had received Rs 1.27 lakh from the money for being a member of the trust, the officer said.
While he gave small sums to the members of the trust, Bachcha kept most of the money for himself, the officer added.
"Nobody could raise questions as Bachcha had good connections in the corridors of power," the officer quoted Veena - one of the 21 suspects arrested in the case so far - as telling her interrogators.
Investigations have also revealed that at least 12 academic institutions were run by the Bachcha's trust in Vaishali district alone.
"The then chairman of the Bihar School Examination Board (Lalkeshwar Singh) was so benevolent that he showered funds on Bachcha's institutions during his tenure," another investigating officer said.
The government, the officer pointed out, had made a policy in 2007-08 that grants would be given to private institutions on the basis of the performance of students in the Intermediate examinations.
"This prompted the institutions to keep in touch with the board officials to ensure good results in the examination," he added.
The probe has also revealed that Lalkeshwar was liberal in granting affiliation to private institutions offering Intermediate education. During his two- year tenure, he granted affiliation to over 200 such institutions, reliable sources said.
City SP (central) Chandan Kushwaha, who is also part of the SIT, said on Sunday that all academic institutions that were granted affiliation during Lalkeshwar's tenure are under the probe team's scanner. "The police will look into all aspects of the scam," SP Kushwaha told The Telegraph.
Three vigilance cases were lodged in the special vigilance court at Muzaffarpur against the affiliation granted to Bachcha's degree and BEd colleges in Vaishali district in alleged violation of rules, education department sources said.
Sources said the complaints alleged that affiliation was granted showing the same land and building for four degree colleges and one BEd college.
The first complaint was filed by Muzaffarpur JDU leader Ashok Choudhary, the second by social activist Rajiv Ranjan, and the third by advocate Sudhir Ojha.
The then vice-chancellor of the BRA Bihar University Muzaffarpur, Bimal Kumar, was also made an accused in the cases.
While the vigilance bureau gave a clean chit in the first two cases, the complaint filed by Ojha is pending in the vigilance court.
In a related development, parents of eight students of Vishun Roy College, whose wards passed the Intermediate examination and have also cracked the IIT entrance examination, have approached newly appointed BSEB chairman Anand Kishor to okay their results.
The board has denied marksheets to Shivani Singh, who came seventh in the merit list and appeared at the board's retest to prove her mettle, who figures in the list of the successful candidates of the IIT entrance test.
Mritunjay Anand, Anshul Kumar, Ashutosh Kumar and Aman Kumar, all Vishun Roy College students, are facing a similar problem. If they fail to submit certificates by July 5, they will not be able to get admission to the IITs.
