Big news: IDFC First Bank pays Rs 583 crore to Haryana government
The bank stated in a filing to the stock exchanges that while the investigation into the matter is ongoing, it has paid the entire principal and interest amount claimed by the relevant departments of the Haryana government, a net sum of ₹583 crore. Let us explain what information has emerged.
Private sector IDFC First Bank on Tuesday said it has deposited the entire amount, including principal and interest, totalling Rs 583 crore, into the accounts of the concerned departments of the Haryana government.
In a filing to the stock exchanges, the bank said that while the investigation into the matter is ongoing, it has paid the entire amount of principal and interest claimed by the concerned departments of the Haryana government, amounting to a net Rs 583 crore.
The bank said it will work with law enforcement agencies and state government departments to take action against those involved in the fraud and continue efforts to recover its dues.
CM gave information in the assembly
The bank on Sunday revealed a fraud of ₹590 crore in some accounts belonging to the Haryana government at a branch in Chandigarh. Haryana Chief Minister Nayab Singh Saini stated in the Assembly that the state government has recovered approximately ₹556 crore in the IDFC First Bank case.
The Chief Minister stated that approximately ₹556 crore, including interest of approximately ₹22 crore, was returned within 24 hours.
He clarified in the House that the entire amount belonging to Haryana government departments has been re-deposited into the accounts and the recovery was made within 24 hours.
Collusion of employees came to light
According to the Chief Minister, the bank has informed the government that the matter pertains to a branch in Chandigarh, where the involvement of four or five middle- and lower-level bank employees has been revealed.
He stated that no one involved in this matter, whether they are bank employees, private individuals, or government employees, will be spared.
IDFC First Bank had previously stated that the fraud was limited to a limited number of accounts belonging to the Haryana government and had no impact on other customers of the Chandigarh branch.
Following the incident, the Haryana government decided to remove IDFC First Bank, along with AU Small Finance Bank, from the list of government businesses.