Key Points
Haryana suspended IAS officer Pankaj Agarwal after he remained in CBI custody for more than 48 hours following his arrest in the alleged ₹605 crore IDFC First Bank fraud case.
The CBI alleges Agarwal was involved in the misappropriation of funds from the Haryana School Shiksha Pariyojana Parishad and the Haryana State Agriculture Marketing Board.
Agarwal is the third Haryana IAS officer to face suspension in the case, while seven other officers remain under investigation.
IN A MAJOR UPDATE, the Haryana state government has suspended another IAS officer in relation to the IDFC First Bank fraud case. On Friday, June 26, 2026, the state government suspended IAS officer Pankaj Agarwal after he was arrested by the Central Bureau of Investigation (CBI) over his alleged participation in an embezzlement fraud that allegedly involved Rs 657 crore.
Agarwal, a 2000-batch officer of the Haryana cadre, was apprehended by the CBI on June 22, 2026, and currently remains lodged in the Ambala jail. His suspension follows service rules that mandate an IAS officer detained for more than 48 hours — whether for a criminal charge or preventive detention — to be deemed under suspension starting from the day of their detention.
An order issued by Chief Secretary (Haryana) Anurag Rastogi noted that as Agarwal was detained in CBI custody for a period exceeding 48 hours, he is therefore “deemed to have been placed under suspension in terms of sub-rule (2) of Rule 3 of the All India Services (Discipline & Appeal) Rules, 1969, until further orders.” The order further stated that the IAS officer would be entitled to a subsistence allowance in accordance with Rule 4 of the 1969 Rules.
Pankaj Agarwal’s arrest and subsequent suspension marks the third such action that was taken against IAS officers involved in embezzlement of government funds via the IDFC First Bank situated in Chandigarh, Haryana. The scam, which involves the misappropriation of central funds totaling up to around Rs 657 crore, is shaping up to be one of the state’s biggest financial frauds.
Seven other officers of the Haryana cadre are currently under investigation by the CBI.
Prior to his suspension, IAS Pankaj Agarwal was serving as principal secretary of the architecture department.
The CBI says that Agarwal was allegedly involved in the siphoning of around Rs 50 crore from the Haryana School Shiksha Pariyojana Parishad during his tenure as the principal secretary of the school education department. Investigating officials also state that Agarwal embezzled about Rs 10 crore from the Haryana State Agriculture Marketing Board while serving as principal secretary of the agriculture and farmers’ welfare department.
On April 8, 2026, the CBI took charge of the embezzlement case after a request from the Haryana government. That same day, Agarwal was moved to the architecture department. In addition, several other IAS officers who are also named in this case were assigned to less significant roles.
In addition to his administrative background, Agarwal also has influential political connections with the ruling Bharatiya Janata Party (BJP). During the 2024 Haryana state assembly election, he oversaw the electoral process and served as chief electoral officer.
During the Rajya Sabha elections commencing this year from March 16, Agrawal’s role as Returning Officer attracted much controversy. The opposition Congress party accused him of interfering in the electoral process by casting away valid votes of Congress MLAs while allowing allegedly invalid votes in favor of the BJP-backed independent candidate Satish Nandal.
On March 19, 2026, three days after the Rajya Sabha elections, Agarwal was appointed as the principal secretary of the irrigation and water resources department, adviser to the Haryana Saraswati Heritage Board, and principal secretary of the mines and geology department. This appointment happened despite the corruption probe being underway and Agarwal being under suspicion.
(Edited by Harsh Pandey)
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