Banking Scam in Haryana: Entire Misappropriated Amount Recovered

The ₹590 crore fraud at IDFC First Bank has sent shockwaves across the banking sector. Key findings have emerged during the investigation, with police revealing that a former bank employee was the mastermind behind the scam. By manipulating banking procedures, the accused allegedly diverted government funds into accounts linked to shell companies. Along with the prime accused, three others were arrested in connection with the case. The accused have been identified as Ribhav Rishi, Abhay Kumar, Abhishek Singla, and Swati Singla. Of them, two were former employees of IDFC First Bank, while the other two are private individuals. Ribhav Rishi, a former manager at the bank, has been identified as the key conspirator and is currently employed at AU Small Finance Bank in Chandigarh.

The funds in question were related to the Haryana Chief Minister Gramin Awas Yojana–2.0 scheme. On September 26, 2025, two accounts were opened at IDFC First Bank and AU Small Finance Bank to deposit scheme funds. Initially, ₹50 crore was deposited in IDFC First Bank and ₹25 crore in AU Small Finance Bank. As no authorization was issued by the state finance department to utilize the funds, the government later decided to close the accounts. On January 13, letters were sent to both banks instructing them to transfer the entire amount along with accrued interest to another government account. Accordingly, on January 16, AU Small Finance Bank transferred ₹25.45 crore and closed the account. However, IDFC First Bank transferred only ₹1.27 crore, raising concerns over the remaining ₹50 crore.

Subsequent investigations revealed that government officials’ signatures had been forged to divert the funds into shell company accounts. The probe also uncovered serious procedural lapses and irregular transactions within the bank. Authorities determined that a total of ₹590 crore in government funds had been misappropriated. Haryana Chief Minister Nayab Singh Saini announced that the entire diverted amount has since been recovered. In response to the incident, authorities have barred both IDFC First Bank and AU Small Finance Bank from handling government accounts.