IDFC First Bank settles fraud case in Chandigarh for ₹645cr
What's the story
IDFC First Bank has paid ₹645 crore to clients in connection with a suspected fraud at one of its Chandigarh branches. The amount is ₹55 crore higher than the bank's initial estimate of ₹590 crore. The bank made the payment after receiving claims from affected clients, according to a filing on BSE.
Clarification
Claims pertain to same incident, says bank
IDFC First Bank has clarified that the claims it received are related to the same incident and branch, and not a new one. The bank also said there are no other pending claims.
Stability assurance
Bank's total deposit balance stable
Despite the fraud incident, IDFC First Bank has assured that its total deposit balance remains stable. The bank's total deposit balance stood at ₹2.92 trillion on February 28, 2026, compared to ₹2.91 trillion on December 31, 2025. Last month, the bank had reported a suspected fraud of around ₹590 crore involving certain employees and others in accounts linked to the Government of Haryana.
Recovery efforts
IDFC First Bank to continue actions against perpetrators
IDFC First Bank has said it will continue to pursue its actions against the perpetrators of this fraud to recover its dues. The bank had informed the banking regulator and filed a police complaint about the incident. To recall, it found discrepancies between the reported amounts and actual balances during an account reconciliation process, after a state government department requested closure of its accounts and transfer of balances to another bank.