ED Freezes 90 Bank Accounts in Rs 597 Crore IDFC First Bank Scam Crackdown

The Enforcement Directorate (ED) has frozen 90 bank accounts linked to the Rs 597 crore IDFC First Bank Scam. The scam involved embezzlement of public funds from government accounts in Haryana, Chandigarh, and Bengaluru, with funds laundered through shell entities. Multiple searches across four states led to significant evidence recovery.

The Enforcement Directorate (ED) has taken decisive action by freezing 90 bank accounts as part of its ongoing probe into the Rs 597 crore IDFC First Bank Scam, officials announced on Friday. This development follows extensive searches conducted on March 12 at 19 locations across Chandigarh, Haryana, Punjab, and Bengaluru.

The coordinated raids targeted former bank employees, their family members, beneficiary shell entities, and accomplices in Haryana, Chandigarh, and Karnataka. The inquiry focuses on illegal diversion and laundering of government funds meant for fixed deposits, instead channelled through illicit shell companies and notable personalities in real estate and finance.

The scam, orchestrated with the help of ex-bankers, former employees, and shell corporations, unraveled a network of embezzlement and money laundering. Conspicuous entities involved include jewellers and real estate developers who received funds and shuffled them across multiple accounts, complicating the traceability of the proceeds of crime.

(With inputs from agencies.)