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Mahesh Babu Summoned by the Enforcement Directorate in Money Laundering Case
Updated on: 22 April, 2025 10:22 AM IST |Amruta Karulkar
Mahesh Babu
Popular Tollywood actor Ghattamaneni Mahesh Babu is facing scrutiny from the Enforcement Directorate (ED). The central agency has summoned the star for questioning in connection with a money laundering investigation involving two Hyderabad-based real estate firms, Surana Group and Sai Surya Developers. This development places the actor`s promotional activities under the lens.
This amount included Rs 3.4 crore transferred through banking channels and another Rs 2.5 crore allegedly paid in cash. Furthermore, the Surana Group reportedly paid the actor over Rs 5.5 crore for appearing in their advertisements.
The ED intends to investigate these remunerations, particularly the cash component, suspecting it could be linked to illicit funds generated from the alleged real estate fraud. Mahesh Babu notably served as the brand ambassador for Sai Surya Developers` `Green Meadows` project, which is now under investigation.
Also Read: Triumph Amidst Adversity: The Success Story of "Okkadu"
During these searches, officials uncovered what they describe as "incriminating s evidencing details of amounts collected by fraudulent means from various investors as well as unaccounted cash transactions worth around Rs 100 crore". Additionally, "Unaccounted cash to the tune of Rs. 74.50 lakh was seized". The ED has stated that Surana Group engaged in "a massive fraud under the guise of real estate ventures".
Also Read: South Indian Actors with Successful Debut Films
The agency stated the accused "orchestrated fraudulent schemes involving unauthorised land layouts, selling the same plots to different customers, accepting payments without proper agreements, and false assurances of plot registrations". This alleged deception resulted in significant financial losses for numerous homebuyers. The ED further noted, "By cheating the general public with predetermined and dishonest intention, they generated proceeds of crime which were diverted and laundered for wrongful gain to themselves and related entities."
Mahesh Babu has been asked to appear before the ED for questioning, reportedly on April 28th. While the actor may not be directly implicated in executing the alleged scam, the investigation focuses on the substantial payments he received from the firms currently accused of fraud and money laundering.
Scrutiny Over Endorsement Fees
The ED`s interest in Mahesh Babu centres on significant payments he received for endorsing projects linked to the accused companies. According to reports, Sai Surya Developers paid Mr Babu a total of Rs 5.9 crore for promotional work.This amount included Rs 3.4 crore transferred through banking channels and another Rs 2.5 crore allegedly paid in cash. Furthermore, the Surana Group reportedly paid the actor over Rs 5.5 crore for appearing in their advertisements.
The ED intends to investigate these remunerations, particularly the cash component, suspecting it could be linked to illicit funds generated from the alleged real estate fraud. Mahesh Babu notably served as the brand ambassador for Sai Surya Developers` `Green Meadows` project, which is now under investigation.
Also Read: Triumph Amidst Adversity: The Success Story of "Okkadu"
Raids Uncover Alleged Fraud
Acting on intelligence, the ED conducted searches at four premises across Hyderabad and Secunderabad on April 16th. These raids targeted locations associated with the Surana Group and Sai Surya Developers, including residences of the Surana Group`s chairman Narendra Surana and managing director Devendar Surana, as well as company offices.During these searches, officials uncovered what they describe as "incriminating s evidencing details of amounts collected by fraudulent means from various investors as well as unaccounted cash transactions worth around Rs 100 crore". Additionally, "Unaccounted cash to the tune of Rs. 74.50 lakh was seized". The ED has stated that Surana Group engaged in "a massive fraud under the guise of real estate ventures".
Also Read: South Indian Actors with Successful Debut Films
How the Alleged Scam Worked
The ED`s probe originated from several First Information Reports (FIRs) filed by Telangana Police. These FIRs were registered against key figures like Narendra Surana and K Sathish Chandra Gupta (proprietor of Sai Surya Developers) for allegedly "defrauding and cheating gullible investors".The agency stated the accused "orchestrated fraudulent schemes involving unauthorised land layouts, selling the same plots to different customers, accepting payments without proper agreements, and false assurances of plot registrations". This alleged deception resulted in significant financial losses for numerous homebuyers. The ED further noted, "By cheating the general public with predetermined and dishonest intention, they generated proceeds of crime which were diverted and laundered for wrongful gain to themselves and related entities."
Mahesh Babu has been asked to appear before the ED for questioning, reportedly on April 28th. While the actor may not be directly implicated in executing the alleged scam, the investigation focuses on the substantial payments he received from the firms currently accused of fraud and money laundering.
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