At the moment of his arrest, he was the Principal Secretary for both the School Education Department and the Agriculture Department within the Haryana Government.
According to the CBI, Agarwal’s involvement came to light during the investigation into the suspected misuse of government funds from accounts linked to the Haryana School Shiksha Pariyojna Parishad (HSSPP) and the Haryana State Agricultural Marketing Board (HSAMB).
These accounts were held at the IDFC First Bank branch located in Sector-32, Chandigarh. The detained officer is set to be presented in court today.
Bank officials, government personnel, private firms, and individuals under scrutiny
The CBI’s investigation has indicated that the bank accounts in question were allegedly established in violation of Haryana Finance Department regulations. Consequently, government funds beyond the allowable limits were deposited into these accounts. The agency asserts that these accounts were initiated during Pankaj Agarwal’s period in office.
Investigators claim that fraudulent transactions were allegedly executed through these accounts, resulting in the misuse of public funds and an estimated loss of 60.54 crore rupees to the government. The agency has also collected several incriminating pieces of evidence against the IAS officer throughout the investigation.
₹504 crore belonging to eight Haryana government departments
The CBI took over the case following a referral from the Haryana Government. Before this, the Haryana State Vigilance and Anti-Corruption Bureau was investigating the matter.
The agency noted that the case is part of a larger scam involving the IDFC First Bank branch in Sector-32, Chandigarh, where nearly 504 crore rupees from eight Haryana Government departments were reportedly diverted to fake companies and shell entities.
To date, the CBI has filed charge sheets against 17 individuals, including bank officials, government employees, private enterprises, and other persons.
Another senior IAS officer already detained
The CBI also reported that senior IAS officer R K Singh was detained earlier in connection with the alleged misappropriation of funds at the Municipal Corporation, Panchkula. After completing his police remand, he has been placed in judicial custody.
Investigation expanded to other Chandigarh cases
The CBI has extended its investigations to two additional cases related to the Chandigarh Administration — Chandigarh Smart City Limited (CSCL)/Municipal Corporation Chandigarh and CREST Chandigarh.
Charge sheets have already been filed in both cases. In the CSCL matter, accusations have been made against five bank officials, one CSCL officer, and one private individual. In the CREST investigation, the accused include five bank officials, two officers, four private individuals, and two companies.
A senior IFS officer has also been apprehended in connection with the CREST matter.
The CBI has reiterated its commitment to bringing all individuals involved in the misuse of public funds to justice and fully tracing the money trail of the allegedly embezzled funds.
(Edited by : Anshul)
First Published: Jun 23, 2026 9:52 AM IST
