Enforcement Directorate raids 14 locations in IDFC First Bank scam

The Enforcement Directorate (ED) conducted raids at 14 locations across Chandigarh, Mohali, and Panchkula as part of a money laundering investigation involving a 645 crore rupee scam linked to IDFC First Bank.

The investigation concerns the embezzlement of government funds from accounts belonging to the Haryana Government, the Chandigarh Municipal Corporation, and other state entities. The probe follows an FIR filed by the Haryana Police regarding discrepancies in bank balances within the Haryana Development and Panchayat Department's accounts at IDFC First Bank and AU Small Finance Bank.

Recent raids targeted several prominent jewelers and their associated companies, including Malik Jewelers, KLG Jewelers, M.B. Gold Traders, Shyam Jewelers, and Sundar Jewelers. Additionally, authorities searched the premises of Gaurav Kansal, who is accused of acting as an intermediary to layer and circulate proceeds of crime. Investigators allege that embezzled funds were funneled through these jewelers' accounts to appear as legitimate business transactions.

Evidence suggests these jewelers were involved in laundering money diverted from various Haryana government departments and the Chandigarh administration. It is alleged that these funds eventually reached IAS officers and other government employees implicated in the IDFC First Bank fraud. The Central Bureau of Investigation (CBI) has filed a third charge sheet in a Panchkula special court, naming six Haryana-cadre IAS officers and other officials.