The investigation into the alleged ₹590-crore fraud at IDFC First Bank has gathered pace with the arrest of four accused, including the alleged mastermind behind the diversion of government-linked funds.

Haryana’s Anti-Corruption Bureau (ACB) confirmed the arrest of Ribhav Rishi, an IDFC bank manager, along with Abhay Kumar, a relationship manager, Swati Singla, and Abhishek Singla. Officials believe Rishi played a central role in executing and coordinating the transactions that led to the siphoning of funds from accounts maintained at the bank’s Chandigarh branch.

₹590 Crore Diversion Spanned Hundreds of Transactions

Investigators estimate that nearly ₹590 crore was diverted from accounts linked to Haryana government departments. The funds were reportedly held in fixed deposits and subsequently moved through multiple banking channels without proper authorization.

According to officials associated with the probe, the alleged diversion involved more than 300 transactions routed across over 150 accounts. Several accounts have since been frozen as authorities attempt to track the end beneficiaries and prevent further movement of funds.

An FIR has been filed invoking Section 13(2) of the Prevention of Corruption Act and various Bharatiya Nyaya Sanhita sections, specifically covering criminal conspiracy (61(2)), criminal breach of trust (316(5)), cheating (318(4)), and the forgery of documents and securities (336(3), 338, 340(2)). A Special Investigation Team (SIT) has been formed to examine transaction trails, internal banking processes, digital records, and possible collusion.

Following the detection of discrepancies, the bank initiated internal action, including suspension of certain employees, and informed enforcement authorities. A forensic audit has also been commissioned to identify procedural lapses and assess the scale of the breach.

The Haryana government had secured ₹556 crore in principal amount and ₹22 crore in interest, totalling ₹578 crore, within 24 hours of the issue surfacing in connection with IDFC First Bank, Chief Minister Nayab Singh Saini informed the Assembly on Tuesday. Over 98% of the flagged amount has now been restored to state accounts. However, investigators are continuing to examine whether any amount was layered through intermediary entities or diverted for personal gain.

The case has sparked wider scrutiny around compliance controls in handling large government deposits and the monitoring systems within banking institutions. With the primary accused now in custody, the focus of the investigation remains on reconstructing the full money trail and determining if additional individuals were involved.