Chandigarh: The Chandigarh administration issued a stringent advisory to all its depts following the alleged Rs 590-crore fraud involving Haryana govt funds at private banks.In a move aimed at tightening financial controls and preventing similar risks, the UT finance dept directed all depts to reconcile their bank accounts with private lenders immediately and shift operations exclusively to secure institutions.According to the advisory, depts must open and operate accounts only in Domestic Systemically Important Banks (D-SIBs)—State Bank of India (SBI), ICICI Bank, and HDFC Bank — as well as other nationalised banks. Administrative Secretaries and Heads of Departments (HoDs) were made personally responsible for ensuring full compliance.The directive came in the wake of the major fraud scandal uncovered in Haryana govt-linked accounts at a private bank’s Chandigarh branch. The case involved unauthorised transactions and suspected forgery, leading to discrepancies totalling around Rs 590 crore. Haryana’s State Vigilance and Anti-Corruption Bureau (ACB) is investigating, with 4 individuals—including 2 former bank employees—arrested so far.UT finance secretary Diprava Lakra held a meeting with officials from the banks concerned to review the situation. “The banks assured us that the UT administration’s funds are safe,” Lakra stated. “They also committed that, if required, any affected amount would be returned along with applicable interest.”As a precautionary step, the finance department instructed departments to reconcile accounts held with the 2 implicated banks without delay and report any discrepancies immediately. The administration is currently compiling comprehensive details of total funds deposited across these institutions.The Haryana govt already de-empanelled the two private banks for official business, and the bank in question reportedly repaid Rs 583 crore (principal plus interest) to affected Haryana depts while investigations continue.This UT advisory underscores heightened vigilance across govt entities to safeguard public funds amid ongoing probes into the fraud.BOX: Key instructions include:• Conducting monthly reconciliation of all bank accounts, vetted by designated accounts functionaries, with proper records maintained for audit purposes. • Reviewing existing accounts to confirm they align with the new guidelines. • Special focus on accounts with 2 private banks at the centre of the Haryana fraud case, which must undergo thorough reconciliation. HoDs and accounts functionaries are required to certify that no embezzlement or irregularities exist
