Authorities investigating a major banking fraud linked to IDFC First Bank have arrested 11 accused so far, including 6 bank employees, 4 private individuals and 1 government official. The case is being probed by the Haryana State Vigilance and Anti-Corruption Bureau.
According to officials, the investigation has uncovered a network of fake firms allegedly created by the prime accused to divert government funds into multiple bank accounts. Preliminary findings show that money from accounts belonging to several government departments was unauthorisedly transferred to accounts operated in the names of these fictitious companies.
Some of the entities identified during the probe include R S Traders, Cap Co Fintech Services, SRR Planning Gurus Pvt Ltd and Swastik Desh Project, among others, according to an official statement.
Authorities have also moved to freeze more than 100 bank accounts suspected to be linked to the fraudulent transactions. These accounts have now been frozen as part of the ongoing investigation.
Private lender IDFC First Bank earlier disclosed a ₹590 crore fraud involving certain employees and others at its Chandigarh branch. The fraud reportedly involved a specific set of accounts linked to the Haryana government.
Charu Bali, ADGP of the State Vigilance and Anti-Corruption Bureau, said an FIR was registered on February 23 in Panchkula following directions from the Haryana government. A Special Investigation Team (SIT) was subsequently formed under the supervision of senior IPS officer Ganga Ram Punia to investigate the case.
Investigators have identified 12 bank accounts connected to 8 government departments. Of these, 10 accounts were maintained at the IDFC First Bank branch in Sector 32, Chandigarh, while 2 were held at AU Small Finance Bank.
Out of the 11 arrested accused, 10 are currently in judicial custody and 1 is on police remand.
The investigation team has conducted raids at 16 locations, leading to the recovery of documents related to property purchases allegedly made using proceeds from the fraud. Authorities have also seized more than 25 electronic devices, including mobile phones and laptops, which have been sent to a cyber forensic laboratory for examination.
Officials have additionally seized 6 luxury vehicles believed to have been purchased using illicit funds. These include 3 Toyota Fortuners, 2 Innovas and 1 Mercedes.
The probe has also identified 10 properties suspected to have been bought using the proceeds of crime. Investigators say the accused manipulated banking records by preparing fake debit memos or transferring funds without valid debit memos or cheque authorisation. Forged bank statements were also allegedly created to facilitate transfers to accounts linked to the accused or their relatives.
Authorities said a large volume of records from banks and government departments is currently being analysed to trace the full flow of funds and identify authorised and unauthorised transactions.
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