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Kotak Mahindra Bank files police complaint after Panchkula municipal corporation flags FD discrepancyKotak Mahindra Bank probes Panchkula municipal corporation FDR discrepancies of about Rs 150 crore as Haryana State Vigilance Bureau reviews after IDFC First Bank fraud.By Ritu Singh  March 25, 2026, 12:33:07 PM IST (Published)2 Min ReadKotak Mahindra Bank Ltd. has filed a formal complaint with the Panchkula police after the Panchkula municipal corporation flagged discrepancies in Fixed Deposit Receipts (FDRs) held with the private sector lender.

The bank has initiated a detailed reconciliation exercise and says it is cooperating fully with all authorities.

As per media reports, the irregularity came to light when the Panchkula municipal corporation instructed Kotak Mahindra Bank to transfer funds upon the maturity of a fixed deposit, and the bank found that this money was not available.

Subsequent enquiries revealed similar discrepancies across multiple FDRs, with the total quantum under scrutiny now pegged at close to ₹150 crore, as per reports.

The matter has since been escalated to the Haryana State Vigilance Bureau.

In a statement to CNBC-TV18, a Kotak Mahindra Bank spokesperson said, “Following instructions from the municipal corporation of Panchkula, Kotak Mahindra Bank initiated a detailed reconciliation of fixed deposits and linked bank accounts maintained by the municipal corporation.”

As part of this exercise and based on records examined so far, Kotak Bank said in its statement, that all account opening processes, KYC documentation, authorised signatories and instructions received from the municipal corporation were in order, and that the accounts and transactions were handled in strict adherence to due process and applicable banking norms.

“A significant portion of the amounts under review has already been reconciled with the municipal corporation, and the reconciliation process is continuing in an orderly manner,” the statement said.

“Further, in keeping with its governance standards and to ensure that the matter is examined independently and comprehensively, the Bank has filed a formal complaint with the Panchkula police. The Bank is cooperating fully with the municipal corporation, government authorities and law enforcement agencies in this process.”

This comes close on the heels of a far larger fraud at IDFC First Bank, involving ₹597 crore in Haryana government accounts at its Chandigarh branch, where the Enforcement Directorate has already raided 19 locations.

Subsequently, IDFC First Bank fully settled the fraud case by paying ₹645 crore (including interest) to Haryana government departments. The bank reconciled accounts, confirming no further discrepancies, while four individuals, including former employees, were arrested in the case.Continue ReadingTagsKotak Mahindra Bank