54 victims lose ₹4.5 crore in property fraud

A single property in Madannapet was allegedly sold or mortgaged to multiple people through overlapping agreements, leaving at least 54 victims cheated of around ₹4.5 crore over five years, according to an investigation by the Hyderabad Central Crime Station (CCS).

Police said the prime accused, Rashad-Ul-Khair and Mumtaz Begum, are absconding, while Asma Begum, another accused in the case, was arrested on September 4 and remanded to judicial custody. Special teams have been formed to trace the two prime accused.

The case revolves around a ground-plus-two-floor building with a penthouse at Darab Jung Colony in Madannapet, which police said was in the possession of Rashad-Ul-Khair and Mumtaz Begum.

According to the CCS, prospective victims were induced to invest substantial amounts after being promised financial benefits. The accused executed agreements of sale and mortgage agreements, both with and without physical possession, for the same portions of the property with multiple people while concealing earlier transactions.

To make the transactions appear genuine and retain the confidence of investors, the accused also paid monthly rent to victims for several months, police said.

Property brokers were roped in and offered attractive commissions to advertise the property and bring prospective investors, thereby widening the pool of victims.

Asma Begum, who was residing in the third-floor penthouse, allegedly posed as a ‘tenant’ in rental agreements shown to different victims. Police said these rental arrangements were used in connection with mortgage transactions to gain the victims’ confidence and persuade them to part with money.

The transactions under investigation took place between March 8, 2021 and June 22, 2026. So far, investigators have examined 54 victims and estimated their collective loss at approximately ₹4.5 crore.

The investigation began after Nayeem Banu lodged a complaint, following which IS Sadan police registered a case on July 11. As investigators found that several others had also been cheated, the case was transferred to the CCS, Detective Department, considering the number of victims and the financial losses involved.

Following Asma Begum’s arrest, additional provisions of the Bharatiya Nyaya Sanhita relating to forgery and use of forged documents were added to the case.

Police advised people entering property transactions to independently verify ownership, title, physical possession and encumbrances with the authorities and obtain legal verification before making payments.