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IDFC FIRST Bank Settles Chandigarh Branch Claims with Rs 645 Crore Payout

IDFC FIRST Bank has paid a net principal amount of Rs 645 crore to settle client claims stemming from an incident at its Chandigarh branch, which is Rs 55 crore higher than its initial estimate. The bank confirmed it has completed the reconciliation process for all relevant accounts at that branch with no further discrepancies found. It emphasized that this settlement reflects its principled approach and that no other similar claims are pending from any other entities across the country. The bank also reported stable deposit balances and liquidity, anticipating continued growth in deposits and loans.

Key Points: IDFC FIRST Bank Pays Rs 645 Cr to Settle Chandigarh Claims

  • Rs 645 crore net principal paid
  • Final payout Rs 55 crore above initial estimate
  • No other pending claims nationally
  • Bank deposits remain stable at ~Rs 2.92 lakh crore
  • Liquidity Coverage Ratio at 114%
2 min read

IDFC FIRST Bank completes reconciliation of all relevant accounts in Chandigarh Branch claims; Paid net principal amount of Rs 645 crore

IDFC FIRST Bank completes reconciliation, pays net Rs 645 crore for Chandigarh branch incident. No further discrepancies or pending claims reported.

"completed reconciliation of all relevant accounts in the said Chandigarh branch, and no further discrepancy is noted - IDFC FIRST Bank"

New Delhi, March 10

IDFC FIRST Bank announced on Tuesday that it has paid a net principal amount of Rs 645 crore to settle claims arising from an incident at a single branch in Chandigarh. The final payout is Rs 55 crore higher than the initial principal estimate of Rs 590 crore previously disclosed to stock exchanges.

In a regulatory filing, the bank clarified that these payments pertain to the same incident linked to the Chandigarh location and do not represent a new development. According to the IDFC FIRST Bank release, there are no other pending claims related to this matter. The bank stated it has now "completed reconciliation of all relevant accounts in the said Chandigarh branch, and no further discrepancy is noted".

The bank emphasised that its decision to settle the claims reflects its "principled approach on this matter of making good the client payments". While the bank has fulfilled the principal payouts to concerned clients, it confirmed that it "will continue to pursue actions against the perpetrators to recover our dues".

Despite the incident, the bank reported that its broader operations remain unaffected. No other claims have been received from any other entity across the country since February 25, 2026. "We would also like to share that the Bank's total deposit balance continues to remain stable and stood at Rs 2,92,381 crores as of February 28, 2026, compared to Rs 2,91,133 crore as of December 31, 2025," the release said.

The bank noted that its liquidity position remains stable, with the average Liquidity Coverage Ratio (LCR) for the ongoing quarter at 114 per cent as of February 28. Addressing future performance, the bank stated it "anticipates growth in deposits and loans going forward, broadly in line with the past trends."

- ANI

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Reader Comments

P
Priya S
The deposit numbers are still strong, which is reassuring for account holders like me. But a single branch causing a Rs 645 crore issue? Internal controls need a serious review, no matter how "principled" the settlement is.
A
Aman W
Chandigarh branch... makes you wonder what exactly happened. Fraud? System error? The bank should be more transparent about the incident itself, not just the settlement. Public has a right to know.
S
Sarah B
The LCR at 114% is a solid number. Shows the bank's overall health is stable despite this one-off event. Important for investor confidence.
K
Karthik V
"Will continue to pursue actions against the perpetrators" – this is key. They must set an example. White-collar crime in banks hurts the common man's faith in the system. Full legal action should be taken.
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Nisha Z
Rs 55 crore more than the initial estimate... that's not a small variance. Hope the audit committee is looking into how the initial assessment was so off. Raises questions about their risk management.

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