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After the Axis Bank employee fraud case, Haryana Government has reportedly discovered a discrepancy totalling Rs 160 crore linked to fixed deposits of the Panchkula Municipal Corporation at Kotak Mahindra Bank.

The issue came to the fore after civic officials approached the bank over the maturity of its fixed deposits, finding irregularities in their record.

The Panchkula MC had deposited the amount at the Kotak Mahindra Bank branch in Sector 11, Panchkula, according to The Tribune report.

“Recently, when officials approached the bank about the maturity of a fixed deposit (FD) worth ₹58 crore, they were told it did not exist. Upon checking all accounts, it was found that the discrepancies exceeded over ₹150 crore,” it stated.

Meanwhile, the private lender's spokesperson noted that the Bank initiated a detailed reconciliation of fixed deposits and linked bank accounts maintained by the Panchkula Municipal Corporation.

What Is The Rs 160 Cr Panchkula FD Scam?

The Panchkula Municipal Corporation had Rs 58 crore in in fixed deposits with a Kotak Mahindra Bank branch in Sector 11.

The discrepancy was visible after the cooperation officials inquired about the maturity amount of one such deposit. The lender reportedly could not trace the deposit in its records.

"Some of the FDRs were with the bank for a long time in the Panchkula branch. Discrepancy was found when the bank was asked to transfer the funds upon maturity of one of the FDRs,” Vinay Kumar, Commissioner of the Panchkula Municipal Corporation, told PTI on March 24.

While bank statements allegedly indicated that transactions had been processed, the funds were not reflected in the civic body’s account.