The Rashtriya Janata Dal (RJD) on 23 August demanded an Enforcement Directorate (ED) probe into the multi-crore Srijan scam, in which the government funds were transferred to private accounts between 2005 and 2013.
"They have taken money from the public treasury. Both of them (Nitish Kumar and Sushil Modi) should resign as the scam happened in their knowledge and they protected the main accused," Yadav told the media here.
Yadav said that the Srijan scam was not confined to the Bhagalpur district alone, and that its links were spread in several districts.
"It is high time that Chief Minister Nitish Kumar recommend a CBI probe into the Srijan scam as he has repeatedly been claiming zero tolerance against corruption," he added.
Tejashwi Yadav also said he has not been allowed to hold a meeting in Bhagalpur for more than a week as the "government is afraid" that he will expose Srijan scam and the leaders behind it.
He further said Sushil Modi was the finance minister when "crores were looted from the people and nobody, but Prime Minister Narendra Modi is responsible for it".
The scam involves a Bhagalpur-based NGO Srijan Mahila Vikas Sahyog Samiti Limited, which provided vocational training to women.
The NGO allegedly pilfered funds meant for the government's welfare schemes from the bank accounts of the Bhagalpur district administration.
Following the RJD's demand, the Chief Minister on 17 August recommended a Central Bureau of Investigation probe into the matter.