Haryana IDFC Bank Scam: CBI Arrests Second IAS Officer Pankaj Aggarwal in ₹504 Crore Fraud

Chandigarh: The Central Bureau of Investigation (CBI) has arrested senior Indian Administrative Service (IAS) officer Pankaj Aggarwal in the multi-crore IDFC First Bank fraud case.

Aggarwal is accused of playing a key role in the misappropriation of government funds deposited with the Sector 32 branch of IDFC First Bank in Chandigarh. He is the second IAS officer to be arrested in connection with this sweeping financial scandal and will be produced before a CBI court on Tuesday.

Violations of Financial Guidelines Unearthed

According to the CBI, the investigation uncovered severe protocol violations during Aggarwal’s tenure as Principal Secretary. Official accounts for two major state bodies—the Haryana School Shiksha Pariyojana Parishad and the Haryana State Agriculture Marketing Board—were opened in direct violation of state Finance Department guidelines.

Following the unauthorized opening of these accounts, government funds were transferred into them far in excess of permitted limits. Through a series of fraudulent transactions, ₹60.54 crore was siphoned off from these two departments alone, causing a massive loss to the state exchequer.

CBI Statement: The federal agency stated that substantial incriminating evidence has been gathered against Aggarwal, linking him directly to the embezzlement.

Part of a Massive ₹504 Crore Scam Network

The fraud within the school parishad and marketing board is part of a much larger institutional scam centered at the IDFC First Bank branch in Chandigarh.

• The Scale: A staggering ₹504 crore belonging to eight different government departments was systematically siphoned off and routed into various shell entities.
• The Crackdown: The CBI has already charge-sheeted 17 accused individuals in connection with the scam.

Breakdown of the 17 Charge-Sheeted Accused:

• 6 bank officials (from IDFC First Bank and AU Small Finance Bank)
• 3 public servants of the Haryana government
• 6 private individuals
• 2 private companies

Expanding Investigation

Pankaj Aggarwal is the second high-profile bureaucrat to fall in this case. Earlier, IAS officer R.K. Singh was arrested for the misappropriation of Panchkula Municipal Corporation funds and remains in judicial custody.

The CBI originally took over the case following a reference from the Haryana state government, absorbing the initial probe started by the State Vigilance and Anti-Corruption Bureau. The agency’s investigation into Chandigarh-based government fund leaks has since widened, with two additional fraud cases taken over involving Chandigarh Smart City (Chandigarh Municipal Corporation) and CREST Chandigarh.