In a shocking real estate scam that has rocked Bengaluru, over 32 tenants were duped by a builder who leased out apartments that had already been sold years ago. The fraudulent activity came to light when one of the victims, Padma, discovered that the flats she leased in the Sri Sai Balaji Meadows Apartment complex in Kodigehalli had not only been sold prior but were also under a loan default with Indian Overseas Bank.
Padma, like many others, had entered into a lease agreement with the builder, AK Ragham, on November 20, 2023, for Flats No. 305 and 405. She paid a substantial sum of ₹26 lakh — comprising ₹10 lakh via cheque, ₹7 lakh in cash, and ₹9 lakh through additional cheques — in the presence of Ragham's wife and associates. Believing everything to be in order, she moved forward, unaware of the underlying fraud.
The situation escalated in January 2024 when a man named Sai Prashant approached Padma, claiming legal ownership of the same flats. He presented registered sale deeds dated September 13, 2021. Alarmed, Padma cross-verified the documents and found that the property had indeed been sold to Prashant nearly two years before she signed her lease agreement.
Matters worsened in March 2024 when Indian Overseas Bank officials confirmed that Sai Prashant had taken out loans on the said properties, which were now at risk of being confiscated due to loan default. Investigations now suggest that the builder may have used a similar scheme to illegally lease multiple sold or mortgaged flats to unsuspecting tenants, each paying lakhs of rupees.
Authorities are probing the case, and complaints have been lodged at the Kodigehalli Police Station. The incident highlights a growing concern over fraudulent practices in Bengaluru’s real estate sector.
