IDFC FIRST Bank Discloses Rs 590 Cr Fraud in Haryana Accounts

IDFC FIRST Bank disclosed a suspected fraud involving nearly Rs 590 crore in Haryana government-linked accounts at its Chandigarh branch, leading to the suspension of four employees and swift action by state authorities.

The irregularities surfaced on February 18, 2026, when a Haryana government department requested account closure and fund transfer to another bank. Bank records showed discrepancies between the reported balances and actual amounts, prompting further reviews. Over the following days, additional government entities reported similar mismatches in their accounts at the branch. A preliminary internal investigation by the bank determined the issue was confined to a specific group of government-linked accounts and did not affect other customers.

In response, IDFC FIRST Bank suspended the four officials suspected of involvement and initiated disciplinary, civil, and criminal proceedings against them and any external parties. The bank filed a police complaint, requested liens on suspicious beneficiary accounts at other institutions, and appointed an independent agency for a forensic audit. It also notified statutory auditors and held meetings of its special fraud...