ED Action in Hyderabad: Realty Firm’s Properties Worth ₹12.65 Crore Attached in ₹842-Cr Scam
(Judicial Quest News Network)
In a significant development underscoring the judiciary’s resolve against financial malfeasance, the Directorate of Enforcement (ED), Hyderabad Zonal Office, has provisionally attached movable and immovable assets valued at ₹12.65 crore under the Prevention of Money Laundering Act, 2002. The properties belong to M/s Sahiti Infratec Ventures India Pvt. Ltd. (SIVIPL), its former Director Sandu Purnachandra Rao, his family members, and associated entities.
The attachment follows a money laundering probe initiated on the basis of multiple FIRs registered by the Telangana Police under Section 420 of the Indian Penal Code. The complaints, filed by aggrieved investors and homebuyers, allege that SIVIPL and its promoters defrauded them of a staggering ₹842.15 crore by promising residential flats and villas that were never delivered.
The ED’s investigation has unearthed a web of deceit: SIVIPL allegedly collected vast sums from homebuyers without securing requisite approvals from RERA and HMDA. Crucially, no ESCROW mechanism was maintained, and investor funds were funnelled into multiple undisclosed bank accounts. Of the total amount, ₹216.91 crore was reportedly collected in cash and deliberately excluded from the company’s official books.
Further, the probe revealed that B. Lakshminarayana, Managing Director of SIVIPL, and Sandu Purna Chandra Rao, who headed the sales and marketing division, diverted substantial portions of these funds into personal and family accounts. The misappropriated money was allegedly used to acquire properties in their own names, as well as in the names of relatives and benami holders.
The case is poised to test the enforcement of anti-money laundering statutes and may set a precedent for accountability in the real estate sector, where regulatory compliance and investor protection remain pressing concerns.
S. Purna Chandra Rao misappropriated Rs. 126 Crore collected from customers of M/s SIVIPL, signing ‘Agreements of Sale’ and handling funds in his personal bank accounts as well as the bank accounts of his relatives and entities which comprised Rs. 50 Crore collected from customers in cash between 2018 and August 2020. Further investigation revealed that S. Purna Chandra Rao was in possession of immovable properties worth crores of rupees in his name as well as the names of his family members and associated persons / entities which were acquired by him mainly after resigning from M/s SIVIPL by laundering the Proceeds of Crime.
ED had earlier attached properties worth Rs. 161.50 Crore belonging to M/s SIVIPL, B. Lakshminarayan, S. Purna Chandra Rao and others. B. Lakshminarayan and Sandu Purna Chandra Rao were arrested by ED on 29.09.2024 and 25.08.2025 respectively.
Various bail petitions filed by them before the Hon’ble MSJ Court, Nampally as well as Hon’ble Telangana High Court have been dismissed and presently both of them are under judicial custody. Prosecution Complaint (PC) was filed in this case on 05.11.2024 before the Hon’ble MSJ Court, Nampally and cognizance of the PC has been taken by the Hon’ble Court.
Further investigation is under progress.
