IDFC FIRST Bank discloses ₹590 crore fraud at Chandigarh branch

Core Viewpoint - IDFC FIRST Bank Ltd has reported a fraud amounting to ₹590 crore at one of its branches in Chandigarh, which is currently under investigation [1][2]. Group 1: Fraud Details - The fraud involves discrepancies in accounts linked to a specific group of government-related accounts within the Haryana Government [5]. - The bank identified the fraud during a request from a Haryana Government department for account closure and fund transfer, which revealed inconsistencies in account balances [3][4]. - The total amount under reconciliation across the identified accounts is approximately ₹590 crore, with further impacts to be determined based on ongoing investigations and recoveries [2]. Group 2: Internal Actions and Investigations - Following the discovery of the fraud, the bank has suspended four suspected officials pending investigation [5]. - The bank plans to pursue strict disciplinary, civil, and criminal actions against those responsible, in accordance with applicable laws [6]. - A Special Committee of the Board for Monitoring and Follow-up of Cases of Frauds was convened to address the issue, and an independent external agency will conduct a forensic audit [6][7].