Hyderabad police arrest man in Rs. 4.09 crore investment fraud case

Hyderabad: The Economic Offences Wing (EOW) apprehended an individual accused on June 22 of allegedly inducing four individuals to invest approximately Rs. 4.09 crores between December 2023 and March 2024.
The accused purportedly failed to honor these commitments and subsequently absconded but was arrested in Parkala, Udupi, Karnataka. He was later brought to Hyderabad on June 23, 2024, and presented before the Honorable Court.
The accused individual is identified as A1 Rajesh Madivala, a resident of Hubsiguda, Secunderabad, and native of Parkala, Udupi, Karnataka.
A case has been registered against A1 under Cr No. 113/2024 U/s 406, 420 IPC & Sec 5 of TSPDFE Act based on a complaint filed by S Sindhuja on April 1, 2024.
The complaint alleges that Rajesh Madivala induced the complainant and three others to invest approximately Rs. 4.09 crores between December 2023 and March 2024 in commodity trading ventures through entities named A2 Deeksha Traders and A3 Prahanesha Traders, promising substantial returns.
Rajesh Madivala reportedly entered into agreements promising repayment of invested amounts with profits within five months or through 20 equal installments, providing cheques as security. Allegedly, he failed to fulfill these commitments before absconding.
Inspector K. Chandra Shekar leads the investigation under the supervision of ACP Kiran Kumar. Efforts are ongoing to identify additional victims, analyse trading accounts, investigate fund diversions, and ascertain the involvement of any accomplices.
DCP CCS, Hyderabad, provided updates, indicating that the investigation remains active and ongoing.