Haryana Chief Minister Nayab Singh Saini announced on Tuesday that the Rs 578 crore lost during a fraudulent incident at IDFC First Bank has been entirely recovered within 24 hours. This sum includes funds belonging to various state departments and agencies.

The Chief Minister elaborated that Rs 556 crore was deposited back into state accounts along with an additional Rs 22 crore in interest, which was also refunded. Speaking in the Assembly, CM Saini highlighted the efficiency of the recovery, stating the entire amount was reinstated swiftly.

Investigation and Accountability Measures Initiated

During his address, Saini stressed the need for accountability and transparency in the case. He disclosed that the fraud involved four to five middle and lower-level staff from a bank branch in Chandigarh who reportedly colluded for this operation. The Chief Minister made it clear that stringent actions will be enforced against any government officials or employees found culpable in this incident. He proposed the formation of a high-level committee tasked with both holding responsible parties accountable and offering recommendations to prevent similar fraudulent activities in the future.

IDFC First Bank’s Response to Fraudulent Activity

IDFC First Bank has announced the suspension of four employees from its Chandigarh branch following the detection of the fraudulent scheme, which affected around Rs 590 crore from certain accounts connected to the Haryana government. The bank confirmed it is actively conducting an investigation and aims to recover the misappropriated funds through various legal and disciplinary measures.

Regulatory Oversight Maintained Amid Concerns

In the backdrop of the fraud, the Reserve Bank of India (RBI) has been monitoring the situation closely. RBI Governor Sanjay Malhotra commented on the matter, assuring that the reported fraud is not indicative of a systemic issue within the banking sector. The RBI remains vigilant and is assessing developments related to this incident while ensuring that proper regulatory measures are upheld.

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