PANCHKULA: The Haryana Vigilance and Anti-Corruption Bureau (ACB) has arrested four persons in connection with an alleged ₹590 crore fraud linked to accounts of the state government and IDFC First Bank.
Those arrested include former branch head Ribhav Rishi and former relationship manager Abhay Kumar, both previously posted at IDFC First Bank’s Sector 32 branch in Panchkula. Rishi had also earlier worked with AU Small Finance Bank. The other two accused are Kumar’s wife, Swati Singla, and her brother, Abhishek Singla.
A local court on Wednesday remanded all four to seven days of ACB custody, though the agency had sought 14 days’ remand for Rishi and Kumar.
Funds routed through private firm
According to ACB director-general Dr Ashinder Singh Chawla, nearly ₹300 crore was allegedly routed through the bank account of a private company named Swastik Desh Project. Swati Singla holds a 75% stake in the firm, while Abhishek Singla owns the remaining 25%.
Investigators suspect the fraud’s scope may extend beyond Haryana government accounts and could involve accounts linked to the Chandigarh administration as well.
Irregularities in MMGAY-2.0 accounts
The ACB said that on July 12, 2024, the Haryana finance department ordered the opening of accounts under the MMGAY-2.0 scheme. Subsequently, accounts were opened in IDFC First Bank and AU Small Finance Bank, with initial deposits of ₹50 crore and ₹25 crore, respectively, on September 26, 2025.
Irregularities surfaced when the department directed closure of these accounts in January 2026. While AU Small Finance Bank reportedly returned over ₹25.45 crore, IDFC First Bank transferred back only ₹1.27 crore.
Following an inquiry by a three-member committee constituted on February 11, the state government directed the ACB to register an FIR on February 23.
The committee found that multiple cheques and debit notes were processed using forged signatures of former director-general D.K. Behera, who had demitted office in October 2025. In one case, a cheque was reportedly cleared despite discrepancies between the amount written in figures (₹2.50 crore) and the amount in words.
Bank records also indicate that around ₹46.56 crore was transferred from the IDFC First Bank account to an AU Small Finance Bank account. However, supporting documents from the AU bank were allegedly not fully furnished despite repeated requests, the ACB said.
Funds siphoned to multiple entities
Preliminary findings suggest that money was siphoned off from several departments, including the Haryana State Pollution Control Board and the Municipal Corporation of Panchkula. The funds were allegedly routed through Swastik Desh Project and diverted to various entities, including Sawan Jewellers, Manik Jewellers, and accounts linked to the accused and their spouses.
The accused have been booked under provisions of the Prevention of Corruption Act and relevant sections of the Bharatiya Nyaya Sanhita. The ACB has indicated that the conspiracy may involve other unidentified bank officials and government employees, and further arrests are likely.
