₹107 crore Panchkula fraud: Ex-Kotak Bank Deputy VP bought Porsche, BMWs with siphoned money; ED files chargesheet

The Enforcement Directorate (ED) has attached assets worth ₹131.13 crore in the alleged Kotak Mahindra Bank fraud involving the siphoning of Municipal Corporation (MC) Panchkula funds.

The agency said the main accused, former Kotak Mahindra Bank Deputy Vice President Pushpinder Singh, allegedly used the money to buy luxury cars, properties and finance high-interest loans.

The ED has also filed a prosecution complaint against nine accused persons under the Prevention of Money Laundering Act (PMLA).

HOW THE ALLEGED FRAUD WORKED

According to the ED, the investigation began after an FIR was registered by the Anti-Corruption Bureau (ACB), Panchkula.

The central agency alleged that Pushpinder Singh, along with MC Panchkula official Vikas Kaushik and Kotak employee Dilip Raghav, opened two unauthorised bank accounts in the name of the civic body using forged documents and fake authorisation letters.

The ED said genuine communications from MC Panchkula were ignored, while fake authorisation letters were created to transfer money from the corporation's legitimate accounts into the illegal ones.

It also alleged that the mobile numbers and email IDs linked to the fake and genuine accounts were changed to those controlled by Pushpinder Singh and Vikas Kaushik. This allowed them to bypass the bank's internal checks and approve fraudulent transactions.

The agency further said Kotak employee Satish Kumar was also involved in the alleged siphoning of funds.

MONEY ROUTED THROUGH SEVERAL ACCOUNTS

The ED alleged that once the money reached the fake accounts, it was transferred to several individuals, including Rajat Dahra, Swati Tomar, Kapil Kumar, Vinod Kumar and Sonia, and firms such as SK Agrotech and SK Agrofirm to layer the funds and hide their origin.

According to the agency, accounts operated by Rajat Dahra and Swati Tomar were effectively controlled by Pushpinder Singh. The money was later transferred to his personal accounts, to accounts belonging to his wife Preeti Thakur, and used to buy movable and immovable assets.

PORSCHE, BMWS, LAND CRUISER

The ED said Pushpinder Singh purchased several luxury vehicles using the alleged proceeds of crime, including a Porsche Cayenne, BMW 740Li, BMW X7, BMW 749i, BMW Z4, Jeep Wrangler (2021 and 2024 models), Toyota Land Cruiser and a Harley-Davidson motorcycle.

According to the agency, many of these vehicles were sold after the fraud came to light. Singh sold a property in Sector 2, Panchkula, to his sister Gunita Sethi after the fraud was detected. According to the ED, the money for the transaction came from his wife Preeti Thakur's firm, Chaudhary & Sethi Legal Advisory Pvt. Ltd., in what it described as a round-tripping arrangement to conceal ownership.

HIGH-INTEREST LOANS, WIFE'S FIRM UNDER SCANNER

The ED alleged that Pushpinder Singh advanced unsecured loans to several individuals and companies using the siphoned money and charged 3% interest per month, or 36% annually, in cash.

The agency also said it found a sharp rise in the income of Preeti Thakur and in the turnover and profits of her company from FY 2023-24 onwards. It alleged that the firm was used to dispose of assets acquired using the alleged proceeds of crime.

According to the ED, a total of ₹107.24 crore belonging to MC Panchkula was retained in illegal accounts and later routed through intermediaries. The agency said the total proceeds of crime, including interest allegedly earned from advancing the siphoned funds as loans, amounted to ₹131.13 crore.

The attached assets include bank balances worth ₹12.85 crore and immovable properties valued at ₹118.28 crore. The ED said it has attached 100% of the embezzled funds within four months of the FIR being registered.

The ED arrested Pushpinder Singh on June 1, 2026. He was remanded to nine days of custodial interrogation by the Special PMLA Court in Panchkula.

The agency has now filed a prosecution complaint under Sections 44 and 45 of the PMLA against nine accused persons in connection with the alleged money laundering case.