Chandigarh, Feb. 23 -- Private sector lender, the IDFC First Bank on Saturday disclosed that it has detected suspected fraudulent transactions amounting to Rs.590 crore at one of its Chandigarh branch involving accounts of Haryana government departments. As per a regulatory filing made to the National Stock Exchange and Bombay Stock Exchange under SEBI's Listing Regulations, the Bank said it has placed four suspected officials under suspension pending investigation and filed a complaint with the police authorities. Officials said the government funds allegedly transacted fraudulently belonged to the development and panchayats department. "The state government has referred the matter to Haryana crime branch for investigation," officials said. "The Bank is in the process of appointing an independent external agency to conduct an independent forensic audit. The statutory auditors have been informed. A meeting of the Special Committee of the Board for Monitoring and follow-up of cases of frauds (SCBMF) was convened on February 20. The meeting of the audit committee and the board of directors were convened on February 21,'' the bank said in its regulatory filing The Bank will pursue strict disciplinary, civil and criminal action against the employees and other external individuals responsible, in accordance with applicable law. The Bank said the financial irregularities were detected after it received a request from a particular Haryana government department for closure of its account and transfer of funds to another bank. In the process, certain discrepancies were observed in the amount mentioned vis-a-vis the balance in the account. The Bank said a preliminary internal assessment indicated that the matter was confined to a specific group of government-linked accounts operated through a Chandigarh branch and does not extend to other customers of the branch. The aggregate amount currently under reconciliation across the identified accounts is approximately Rs.590 crore. However, the impact may be determined based on receipt of further information, validation of claims, recoveries of any nature including those made through the process of marking lien on fraudulent beneficiary accounts maintained with other Banks, liabilities of other entities involved in the fraudulent transactions, and the legal recovery process, the bank said. The Haryana government in its February 18 instructions on dealing with banks had de-empanelled IDFC First Bank and AU Small Finance Bank for government business with immediate effect. Though no reason was ascribed for the de-empanelment of the two banks. The instructions sent to the administrative secretaries, heads of departments, deputy commissioners, managing directors by the additional chief secretary (ACS), finance said no government funds shall henceforth be parked, deposited, invested, or transacted through these two banks. "All concerned departments and organisations shall take immediate action for transfer of balances and closure of accounts maintained with the above banks,'' the instructions said....