Fake FDR Fraud: Senior Official Held in Major Financial Irregularity Case

In a major development, the Chandigarh Police have arrested Nalini Malik, Chief Financial Officer (CFO) of Chandigarh Smart City Limited, in connection with a ₹116 crore scam involving IDFC First Bank. The arrest was carried out by the Economic Offences Wing (EOW) following a complaint filed by the Municipal Corporation regarding fraudulent Fixed Deposit Receipts (FDRs). According to police, Nalini Malik, along with bank manager Ribhav Rishi and other officials, allegedly created shell companies to misappropriate public funds. Investigations have revealed that Ribhav Rishi, in collusion with Nalini Malik and Sukhwinder Singh, Project Director of CREST, opened accounts in the name of the Municipal Corporation and generated fake FDRs worth ₹116 crore. The funds were later invested in real estate ventures, and large sums were allegedly paid as bribes to officials through both cash transactions and bank transfers. The scam came to light when Municipal Corporation officials approached the bank to encash their FDRs during the closure of Smart City Limited. However, the bank records did not reflect the existence of these deposits, raising suspicions and leading to an investigation. Police have already arrested Sukhwinder Singh and accountant Sahil Kukkar in connection with the case. Further investigations are ongoing to identify additional individuals involved in the fraud.