New Delhi: The Central Bureau of Investigation (CBI) on Thursday carried out searches at multiple locations in Chandigarh and Ludhiana as part of its ongoing investigation into the alleged ₹504 crore government banking fraud involving accounts of Chandigarh Smart City Ltd (CSCL) and the Municipal Corporation Chandigarh maintained with IDFC First Bank.
According to the CBI, simultaneous searches were conducted at five locations, including the residences and business premises of suspected beneficiaries of the allegedly siphoned funds, properties linked to former accountant Anubhav Mishra, and offices of private entities connected to the investigation. The agency recovered and seized a significant quantity of documents and digital evidence during the operation.
The seized material includes digital storage devices, digital signatures, property-related documents, financial records, electronic devices, and other records considered crucial to the investigation. The CBI said the evidence is being subjected to forensic examination to trace the flow of funds, identify beneficiaries, and uncover the full extent of the alleged conspiracy.
The case was originally investigated by the Haryana State Vigilance and Anti-Corruption Bureau before being transferred to the CBI at the request of the state government. Investigators say the case forms part of a larger banking fraud linked to the Sector 32 branch of IDFC First Bank in Chandigarh.
According to the investigation, nearly ₹504 crore belonging to eight Haryana government departments was allegedly siphoned off through forged and non-existent fixed deposits (FDs) and fraudulent debit transactions. The funds were then allegedly routed through multiple shell entities and intermediary accounts in an attempt to conceal their origin and ultimate beneficiaries.
The CBI has so far filed chargesheets against 17 accused in the broader case. These include six officials from IDFC First Bank and AU Small Finance Bank, three Haryana government officials, two companies, and six private individuals. The agency alleges that the accused played different roles in the alleged banking fraud and misappropriation of government funds.
The agency has also taken over two related cases in Chandigarh. One pertains to Chandigarh Smart City Ltd and the Municipal Corporation Chandigarh, while the other involves the Chandigarh Renewable Energy and Science & Technology Promotion Society (CREST).
In the CSCL case, the CBI has already filed chargesheets against five bank officials, one CSCL official, and one private individual. In the CREST case, chargesheets have been filed against five bank officials, two CREST officials, four private individuals, and two companies.
The CBI said the evidence recovered during the latest searches is expected to play a key role in advancing the investigation. The agency is continuing to examine the money trail, the role of alleged beneficiaries, and the suspected misuse of the banking system to siphon off public funds. Officials indicated that further action could follow if additional evidence or new suspects emerge during the course of the investigation.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
