ED raids 12 locations in Kotak Mahindra Bank–MC Panchkula municipal fraud case

The Directorate of Enforcement (ED), Chandigarh Zonal Office, conducted searches under the Prevention of Money Laundering Act (PMLA), 2002 on April 22, 2026, across 12 premises in Chandigarh, Panchkula, Zirakpur, Dera Bassi and Rajpura (Patiala) in connection with the Kotak Mahindra Bank–Municipal Corporation Panchkula fraud case. The raids led to the seizure of sale-purchase agreements and various incriminating documents linked to money laundering.

The ED initiated its probe based on an FIR registered by the Anti-Corruption Bureau (ACB), Panchkula, under provisions of the Bharatiya Nyaya Sanhita, 2023 and the Prevention of Corruption Act, 1988, against unknown bank officials. The FIR alleged embezzlement of around Rs 145 crore belonging to Municipal Corporation Panchkula through a well-organised criminal conspiracy.

Investigations so far indicate a nexus involving municipal officials, bank employees and private individuals who allegedly siphoned off government funds. According to the ED, Dileep Kumar Raghav, Customer Relationship Manager, and Pushpinder Singh, Deputy Vice President at Kotak Mahindra Bank, along with Vikas Kaushik, former Senior Accounts Officer of the civic body, allegedly opened two unauthorised bank accounts using forged documents in the name of MC Panchkula.

Funds from genuine municipal accounts were allegedly diverted to these fake accounts using forged authorisation letters and unauthorised email IDs. The siphoned money was further routed through various individuals and entities, including financers and real estate firms, before being channelled back to key accused persons and associates. The agency also found that forged fixed deposit receipts worth about Rs 145 crore were issued to the civic body to conceal the fraud.

Searches were conducted at premises linked to Pushpinder Singh, Rajat Dahra, Dileep Kumar Raghav, Vikas Kaushik and others, leading to further recovery of incriminating evidence.

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