New Delhi, April 9 The CBI is set to take over the case of embezzlement of ₹590 crore from the accounts of the Haryana government maintained with IDFC First Bank in Chandigarh, official sources said on Thursday.
The Haryana government had decided last month to hand over the investigation to the central agency, they said.
"We are in the process of taking over," an official familiar with the development said, adding that an FIR will be registered soon based on the FIR registered by the Haryana State Vigilance and Anti-Corruption Bureau (SV & ACB).
According to IDFC First Bank, the alleged fraud of ₹590 crore was committed by its employees and others in accounts held by the Haryana government with the private sector lender.
The SV & ACB has arrested several people in the case, including two former IDFC First Bank employees and the rest are private individuals who own a partnership firm.
According to the police and ED, Haryana government funds were supposed to be deposited by various departments of the state in the bank in fixed deposits (FDs) but were allegedly diverted by the accused for their personal use, the sources said.
Preliminary investigation shows that "substantial" funds have been transferred to various shell (dummy) companies and minor jewellery entities and finally siphoned off under the guise of gold purchases and investment into the real estate sector, the sources said.
They said that a "significant" amount of cash withdrawals has also been noticed in this money trail.
The role of a Chandigarh-based hotelier, involved in the construction of real estate projects in the Tricity (Chandigarh-Mohali-Panchkula), is also under scrutiny.
IDFC First Bank had said it has paid out 100 per cent of the principal and interest to the relevant departments of the Haryana government, which amounts to ₹583 crore.
"The bank remains committed to working together with the relevant Haryana Government departments and law enforcement agencies to pursue actions against the perpetrators of the fraud and looks forward to recovering our dues," IDFC First Bank said in a regulatory filing.