ED Freezes 90+ Accounts in Rs 590 Cr Bank Fraud

The Enforcement Directorate (ED) recently conducted searches across multiple locations, resulting in the freezing of more than 90 bank accounts. This action is part of an ongoing investigation into a significant fraud case linked to IDFC First Bank.

The searches, which occurred across Chandigarh, Mohali, Panchkula, Gurgaon, and Bangalore, were initiated following the registration of a money laundering case. The probe centers on allegations that approximately Rs 590 crore of Haryana government funds have been embezzled.

Incriminating digital and documentary evidence has been seized by the agency. The investigation specifically targets former bank employees, associated family members, and several shell entities suspected of facilitating the fraud. The ED stated that public money was allegedly embezzled through complex routing and layering of funds across these entities.

Evidence indicates that a substantial portion of the illicit funds was channeled through jewellers' accounts, creating a facade of gold purchases via bogus billing. The scam reportedly unfolded over the past year with the assistance of former bank personnel. To date, 11 individuals, including bank employees and private citizens, have been arrested in connection with the case.