CBI Investigates Major Fraud Involving Rs 661 Crore Linked to IDFC First Bank and AU Finance Bank

The CBI has initiated a significant investigation into an alleged Rs 661 crore fraud involving IDFC First Bank and AU Finance Bank. The agency conducted searches across multiple locations, targeting public servants and a consultancy firm linked to the misappropriation of government funds. Evidence suggests collusion between bank officials and public servants, leading to the diversion of funds. The investigation is ongoing, with several incriminating materials seized during the operation. This case highlights serious concerns regarding financial misconduct within government departments.

By Narendra Chaudhary Jun 7, 2026, 11:58 IST

CBI Launches Investigation into Alleged Fraud

The Central Bureau of Investigation (CBI) has initiated searches at six locations as part of an inquiry into a suspected fraud amounting to Rs 661 crore, involving funds deposited with IDFC First Bank and AU Finance Bank. The operations took place in Chandigarh, Panchkula, and the Delhi-NCR region, targeting alleged misappropriation of government funds from various Haryana government departments and the Chandigarh administration, according to officials.

On Friday, the CBI executed searches at properties associated with senior public servants from Haryana and the Noida-based Vipam Consultancy Pvt Ltd, along with its director. This action is part of an ongoing investigation into the alleged misuse of funds held at IDFC First Bank and AU Finance Bank, as stated in an official release.

The investigation has revealed that the fraud impacted eight departments within the Haryana government and two departments in the Union Territory of Chandigarh, including the Municipal Corporation of Chandigarh and the Chandigarh Renewable Energy and Science and Technology Promotion Society (CREST). The CBI noted that evidence suggests collusion between public servants and bank officials, facilitating the opening of accounts, fund transfers, and subsequent diversions.

It is alleged that these public servants received improper benefits for their roles in these transactions and neglected to address the irregularities. The CBI's investigation indicates that Vipam Consultancy Pvt Ltd received illicit funds in its bank account, which were subsequently transferred to the personal account of its director.

During the search operations, the agency seized incriminating documents, digital devices, property records, and other pertinent materials. This investigation stems from a case previously handled by the Haryana State Vigilance and Anti-Corruption Bureau, along with two cases initially registered by the Economic Offences Wing police station in Chandigarh. The allegations involve criminal conspiracy, misappropriation of government funds, and related offenses in collusion with bank officials and public servants.