In a brazen real estate fraud, realtor Ratnakaram Sathyanarayan Raju from Puttaparthi, Andhra Pradesh, has been arrested for allegedly cheating a U.S. citizen—Arvin Francis Mahendrakar—of ₹12.5 crore. The deal began after the duo established a relationship of trust: Raju persuaded Mahendrakar to invest in prime land in Puttaparthi, promising clear title and high returns.
Despite repeated transfers totaling ₹12.5 crore into Raju’s bank account, the agreed-upon properties were never titled to the U.S. investor. Instead, Raju purportedly registered the assets under his own name. Upon Mahendrakar’s visit to India to finalize the purchase, he discovered the alleged deceit and lodged a complaint at the Puttaparthi Urban Police Station on May 22.
Police swiftly arrested Raju, and an FIR was filed for criminal breach of trust and cheating. Authorities said that the U.S. national’s documentation—such as payment records and communication—is being used to advance the investigation. The case underscores a critical warning for NRIs investing in India: even in trusted relationships, rigorous legal due diligence is essential.
As realty scams continue to target foreign investors, regulators and law-enforcement agencies are urging all buyers—especially NRIs—to verify land titles, use escrow mechanisms, and involve legal teams before making large investments.
