Chandigarh, June 2 -- Investigations into the Rs.645-crore IDFC First Bank fraud case revealed that bank officials, in connivance with government employees and private individuals had allegedly routed the embezzled money through multiple shell entities and transferred it to various jewellers, who provided cash in exchange for these banking transactions.

The revelations came two days after the Enforcement Directorate (ED) made the third arrest in the case, in which funds from the bank accounts of Haryana government, Chandigarh administration and two private schools based in Chandigarh and Panchkula, were allegedly siphoned off using fake fixed deposit receipts (FDRs) and forged documents. Chandigarh-based hotelier and realtor Vikram Wadhw...