The Central Bureau of Investigation (CBI) on Saturday conducted searches at multiple locations in connection with a Rs 661 crore fraud case involving IDFC First Bank and AU Finance Bank. The agency alleged that public servants received undue advantages for facilitating the transactions and failing to act against the irregularities.
Searches Across Multiple Cities
The searches were carried out in Delhi, Chandigarh, Panchkula, and other locations. The CBI team seized documents and digital evidence related to the case. The fraud came to light after a complaint was filed by a whistleblower, alleging that loans were sanctioned without proper due diligence.
Role of Public Servants
The CBI has named several individuals in its First Information Report (FIR), including former and current officials of the banks. The agency is investigating how the funds were siphoned off and whether there was any collusion between bank employees and borrowers.
- The scam involved fraudulent loans and advances worth Rs 661 crore.
- Public servants allegedly received bribes to overlook irregularities.
- The CBI is examining bank records and communication between the accused.
Bank Statements
IDFC First Bank and AU Finance Bank have issued statements saying they are cooperating with the investigation. Both banks have assured that they have taken internal action against employees found guilty. The banking regulator, Reserve Bank of India, has also been informed.
Legal Proceedings
The CBI is expected to file a chargesheet within the next few months. The accused may face charges of criminal conspiracy, cheating, and corruption under the Prevention of Corruption Act. The investigation is ongoing.
