CBI arrests CA, three businessmen in funds diversion probe involving Chandigarh Smart City, CREST
Chandigarh, Oct 14, 2026
The Central Bureau of Investigation has arrested a chartered accountant and three businessmen in its investigation into the alleged diversion of public funds belonging to Haryana government bodies, Chandigarh Smart City Ltd and the Chandigarh Renewable Energy and Science and Technology Promotion Society (CREST).
The accused have been identified as chartered accountant Sidharth Narula and businessmen Gaurav Kansal, Mohit Goyal and Manoj Sharma. According to a report in the media, they were arrested on October 11 and produced before Special CBI Judge Vijyant Sehgal in Chandigarh on October 12. The court granted three days’ police custody.
Investigators allege that accounts associated with the businessmen were used to receive and move money siphoned from government institutions. Ribhav Rishi, identified in reports as a principal accused, allegedly directed the transfers through a network of firms.
Sharma’s firm allegedly received more than ₹21.6 crore from the Haryana School Shiksha Pariyojna Parishad and CREST. The investigation also covers suspected routing of diverted funds through bullion dealers and jewellery businesses, including transactions allegedly unsupported by genuine purchases.
A report, citing the CBI, indicate that Goyal and his businesses—Chandigarh Mega Store and Bhagwati Agencies—received ₹59.50 crore through 112 transactions between October 2023 and January 2026. Investigators allege that approximately ₹45.45 crore was subsequently handed back to accused persons in cash. Chandigarh Mega Store also allegedly received ₹1.75 crore directly from CREST’s account.
Kansal and Bharat Distributors allegedly received ₹26.79 crore in 82 transactions between December 2023 and December 2025. The agency claims that cash exchanges accompanied transfers through these accounts, helping conceal the money trail.
Narula is accused of facilitating the opening of three accounts that allegedly received ₹1.57 crore. Investigators are also examining transfers of approximately ₹94 crore to jewellery-related entities allegedly connected with the wider network.
The probe centres on how public money allegedly passed through multiple private accounts before being converted into cash. The allegations remain under investigation and have not been established by a final judicial verdict. Responses from the four accused were not included in the reports reviewed.
[Punjab News Express]
