In a major development in the multi-crore financial fraud linked to the Chandigarh Renewable Energy Science and Technology Promotion Society, the Chandigarh Police have arrested Sukhwinder Abrol, the project director of the society. The arrest is connected to an alleged ₹83-crore fraud involving funds kept in accounts at IDFC First Bank.
Investigators believe that public funds meant for renewable energy initiatives were siphoned off through a network of shell companies before being transferred to personal bank accounts. Police sources say Abrol’s arrest marks the first time a senior insider from the organisation has been taken into custody in the ongoing investigation.
According to the police probe, several shell firms were allegedly created to divert money from CREST bank accounts. These firms were reportedly used as intermediaries to move funds and disguise the financial transactions. Investigators traced large amounts of money that were transferred to these companies and later routed into bank accounts linked to Abrol, his family members, and close associates.
The fraud case was registered on March 12, 2026, at the Economic Offences Police Station in Sector 17 after the Chief Executive Officer of CREST filed a complaint. The case involves an alleged cheating of more than ₹83 crore, making it one of the biggest financial fraud investigations involving a public-sector organisation in the city.
The initial FIR in the case named three officials of IDFC First Bank — Ribhav Rishi, Abhay Kumar, and Seema Dhiman. Investigators suspect that the bank officials helped facilitate suspicious transactions connected to the CREST accounts.
Police earlier informed the court that Rishi, who served as branch manager of the bank’s Sector 32 branch between 2023 and 2025, allegedly opened CREST’s accounts with the help of insiders within the organisation. At the time, more than ₹75 crore was reportedly deposited in these accounts.
Authorities claim that the funds were gradually transferred to shell companies before eventually reaching accounts linked to Abrol and his associates. Financial investigators are now analysing bank records and transaction trails to determine the full extent of the alleged embezzlement.
After his arrest, Abrol was produced before a magistrate in Chandigarh. The court granted five days of police custody to the investigating team so they can interrogate him and uncover more details about the financial network behind the fraud.
Meanwhile, the three arrested bank officials are currently lodged in Ambala Jail. They had earlier been produced before a Chandigarh court on a production warrant for questioning in two separate fraud cases related to CREST and municipal funds.
During earlier court proceedings, investigators also indicated that the shell companies may have been used to make payments to senior officials connected with the city’s Smart City project. While the police have not yet publicly confirmed the identities of those officials, authorities say the financial trail is still being examined and further arrests are possible.
The arrest of Abrol is considered a crucial step in the investigation as it brings the probe directly inside the organisation where the funds originated. Police officials say they are continuing to examine bank transactions, company records, and digital evidence to determine how the fraud was planned and who else may have benefited from it.