IDFC First Bank Fraud: Accused Bankers Paid Crores to Chandigarh Smart City, CREST Officials
In a significant development in the IDFC First Bank fraud case, the police have informed a Chandigarh court that three accused bankers paid crores of rupees to high-ranking officials of the Chandigarh Smart City Project and the Chandigarh Renewable Energy Science & Technology Promotion Society (CREST). The revelations came during a hearing where the police sought remand for the arrested officials, highlighting a complex web of financial misconduct.
Shell Firms and Forged FDRs
The police claimed that Ribhav Rishi, a former branch manager at IDFC First Bank's Sector 32 branch, orchestrated the fraud by creating three shell firms with the connivance of key officials. These firms—CAPCO Fintech, RS Traders, and Swastik Desh Project—were used to siphon off funds from the Municipal Corporation (MC) and CREST. According to police statements, Rishi created fake or forged Fixed Deposit Receipts (FDRs) amounting to Rs 116 crore during his tenure from 2023 to 2025.
Investigators disclosed that the shell firms were registered under the names of associates, including Bhupinder Singh, Sapna (wife of Hemraj, Rishi's driver), Hemraj himself, and Swati Singla (wife of co-accused Abhay Kumar). The police asserted that these entities facilitated the illegal transfer of funds to officials involved in the scam.
Involvement of Smart City and CREST Officials
The police named several officials allegedly complicit in the fraud, including Nalini Malik, Chief Accounts Officer of the Smart City Project; Narender Pal Sharma, Chief Executive Manager of the Smart City Project and MC official; and Sukhwinder Singh, Project Director of CREST. It was claimed that Rishi transferred crores of rupees to these individuals and their family members through the shell firm accounts, other bank accounts, and cash payments.
Additionally, the police revealed that CREST accounts were opened at the same Sector 32 branch with the help of society officials, with funds totaling Rs 75 crore lying in these accounts. The investigation is ongoing to trace the money trail and identify properties where the siphoned amounts were invested, particularly in real estate businesses with the assistance of co-accused Vikram Wadhwa.
Court Proceedings and Police Custody
During the court hearing, the police argued that custodial interrogation of Ribhav Rishi, Abhay Kumar (a relationship manager at the branch), and Seema Dhiman was essential to recover the bank computer system used for creating forged FDRs, verify the roles of bank and MC officials, arrest other co-accused, and understand the modus operandi. They emphasized the need for cross-examination with Vikram Wadhwa to uncover further details.
Defense counsel Deepanshu Bansal, representing Ribhav Rishi, opposed the police remand, stating that there was no evidence against the accused and that the arrest was illegal. However, Advocate Pawan Kumar Dogra, appearing for IDFC First Bank, supported the prosecution's request for a 10-day police remand. The court ultimately sent the three accused to seven-day police custody, following their production from Ambala Jail on warrants related to the fraud cases.
The Chandigarh Police continue to examine bank statements and firm records to unravel the full extent of this financial crime, which has raised serious concerns about governance and accountability in public projects.
