Chandigarh: Chandigarh Police have arrested Nalini Malik, Chief Financial Officer (CFO) of the Smart City project, in connection with a ₹116 crore fraud involving IDFC First Bank.
The arrest was made by the Economic Offences Wing (EOW) following a complaint by the Municipal Corporation regarding fake fixed deposit receipts (FDRs).
According to police, Malik allegedly conspired with bank manager Ribhav Rishi and other officials to create shell companies and siphon off public funds.
Investigations revealed that Rishi, in collusion with Malik and CREST project director Sukhwinder Singh, facilitated the opening of accounts in the name of the Municipal Corporation and generated fake FDRs worth ₹116 crore.
The misappropriated funds were reportedly diverted into real estate investments, while large sums were allegedly paid as bribes to officials through cash transactions and bank transfers.
Police said further investigation is underway to identify additional accused and trace the flow of funds.
