IDFC First Bank flags Rs 590 crore fraud linked to Haryana govt at Chandigarh branch, four suspended

PTC News Desk: IDFC First Bank on Sunday reported a fraud of ₹590 crore involving its employees and others in accounts held by the Haryana Government with the bank.

The bank said the currently estimated fraud amount is ₹590 crore. However, it added that the final figure will be confirmed after a detailed reconciliation process. This process will include verification of claims, receipt of additional information, and any possible recoveries.

"Prima facie, unauthorised and fraudulent activities have been carried out by certain employees at a particular branch in Chandigarh in a specific set of Haryana state government accounts and potentially involving other individuals/entities/counterparties," the IDFC First Bank filing said.

"From February 18, 2026, onwards, certain other Haryana Government entities engaged with the Bank with regard to their respective accounts with the Bank. During this process, differences were observed between the balances in the account and the balances as mentioned by the said Haryana Government entities holding accounts with the Bank," it added. 

The bank said that four of its suspected officials have been placed under suspension pending the investigation.

According to the bank, a department of the Haryana Government had been operating accounts with IDFC First Bank. At some point, the bank received a request to close the account and transfer the remaining balance to another bank. Further details are awaited as the matter is being examined.