Hyderabad Police Arrest AP Realtor for Rs 8 Crore Investment Fraud

Hyderabad: On Wednesday, June 26, an Andhra Pradesh-based realtor was arrested for defrauding investors in Hyderabad of Rs 8 crore. The accused, identified as Gogula Lakshmi Vijaya Kumar, is the director of AV Infracon Private Limited and AV Organo Farms Private Limited. Kumar, a resident of Vijayawada, started these companies and lured people with various investment schemes, including buyback and pre-launch offers.

Vijaya Kumar executed agreements of sale, MoUs, and sale deeds to make investors believe that their investments were legally valid. However, he later duped them, never registering the plots or returning the money. The Cyberabad police arrested Kumar based on a complaint filed by a Hyderabad resident.

Kumar reportedly initiated investment schemes, such as investment plans, land buyback offers, and pre-launch housing deals, by promising high returns and legal ownership of real estate. He assured investors a 50 percent return on deposits after one year. Additionally, he offered 2BHK flats at low prices in semi-gated or high-rise projects with a delivery period of two years.

To gain the trust of investors, the accused executed Agreements of Sale, MoUs, and even Sale Deeds. However, he never registered the plots or returned the money. The fraud was initiated in 2021 when Kumar and his associates posed as legitimate real estate developers. The money collected from depositors was allegedly diverted to other personal and undisclosed investments.

The case was registered under Sections 316(2) and 318(4) of the Bharatiya Nyay Sanhita (BNS) 2023, and Section 5 of the Telangana Protection of Depositors of Financial Establishments Act, 1999. The police are now working to recover the funds and bring justice to the affected investors.

This incident serves as a cautionary tale for potential investors, highlighting the importance of thorough due diligence before committing to any investment scheme. Investors are advised to verify the credentials and legal standing of the companies and individuals they deal with to avoid falling victim to such fraudulent activities.

The arrest of Vijaya Kumar is a significant step towards ensuring the integrity of the real estate market in Hyderabad and protecting the interests of investors. The police have urged anyone who believes they may have been affected by this fraud to come forward and provide information.