CBI Expands Probe into ₹661 Crore Haryana Government Fund Siphoning Case Involving IDFC First Bank and AU Finance Bank

Federal investigators have raided six locations across the NCR region, intensifying scrutiny into a sophisticated financial fraud targeting multiple state departments.

The Central Bureau of Investigation (CBI) has widened its net in the ongoing investigation into a massive financial irregularities case involving the siphoning of government funds parked with IDFC First Bank and AU Finance Bank. On Friday, central agency sleuths conducted synchronized searches across six locations spanning Chandigarh, Panchkula, and the Delhi-NCR region. These raids targeted premises linked to senior Haryana cadre public servants and Noida-based Vipam Consultancy Pvt Ltd, marking a significant escalation in a case that has sent shockwaves through the administrative corridors of Haryana and Chandigarh.

A Web of Alleged Collusion

The investigation centers on the diversion of approximately ₹661 crore—a figure that has seen varying estimates in earlier reports—belonging to eight departments of the Haryana government and two key entities under the Chandigarh administration: the Municipal Corporation and the Chandigarh Renewable Energy and Science and Technology Promotion Society (CREST). According to official statements, the agency’s findings suggest a deep-rooted conspiracy where public servants allegedly colluded with bank officials to facilitate the unauthorized opening of accounts and the subsequent routing of public funds.

The modus operandi, as detailed in the first chargesheet filed before a special court in Panchkula, allegedly involved public servants from the Haryana Power Generation Corporation Ltd and the Haryana School Shiksha Pariyojna Parishad. Investigators claim these officials received “undue advantages” for their role in bypassing financial protocols. Furthermore, the agency asserts that Vipam Consultancy Pvt Ltd acted as a conduit for the proceeds of crime, which were eventually funneled into the personal accounts of the firm's director.

From Vigilance Probe to Federal Scrutiny

This case represents the convergence of multiple investigations, including one taken over from the Haryana State Vigilance and Anti-Corruption Bureau and two separate cases originally registered by the Economic Offences Wing in Chandigarh. The administrative fallout has been swift; the Haryana government has not only recommended the CBI probe but has also taken disciplinary action, including the dismissal of Amit Dewan, the former Chief Financial Officer of the Haryana power utility, citing blatant corruption and gross misconduct.

Beyond the immediate arrests and the recent seizure of incriminating digital devices and property documents, the case highlights systemic vulnerabilities in how government bodies manage high-value deposits in private banking institutions. While the CBI continues to interrogate those in custody, the involvement of higher-level bureaucracy remains a focal point, with the state government previously granting the necessary approvals to probe the roles of several IAS officers. As the agency pieces together the financial trail, the case remains a critical test of accountability for both public sector custodians and the private banking sector.