ED Issues Notice to Actor Mahesh Babu in Money Laundering Probe Involving Surana Group and Sai Surya Developers: In a significant development in the ongoing money laundering investigation, the Enforcement Directorate (ED) has issued a notice to popular Telugu film actor Mahesh Babu. The notice pertains to financial transactions between the actor and two companies currently under investigation—Surana Group and Sai Surya Developers. ED has summoned Mahesh Babu to appear for questioning on April 27, as his financial links with the firms have come under the scanner.
ED Raids and Seizures: A Multi-Crore Scam Unfolds
The move comes in the wake of a series of raids conducted by the ED on April 16 at multiple locations linked to the Surana Group and Sai Surya Developers in Hyderabad. The searches, carried out simultaneously at company offices and residential premises, led to the seizure of significant amounts of unaccounted cash.
Large sums of money were reportedly found at the residence of Narendra Surana, the Managing Director of Surana Industries, located in Secunderabad’s Boyinapalli area. Similarly, ED officials also seized cash from the residence of Satish Chandragupta, Managing Director of Sai Surya Developers. In addition to the cash, the ED confiscated several documents and digital evidence that allegedly point toward massive financial irregularities, including diversion of funds and use of shell companies.
Mahesh Babu Under the Scanner for Rs 5.9 Crore Transactions
According to ED sources, Mahesh Babu allegedly received Rs 5.9 crore from the two firms—Rs 3.4 crore in cash and Rs 2.5 crore through RTGS bank transfers—as part of promotional deals. While such promotional endorsements are not unusual for celebrities, the payment structure and mode of transactions have raised suspicions among investigating officers. Authorities are now probing whether the actor was knowingly or unknowingly involved in the laundering of illicit funds.
The ED is expected to question Mahesh Babu about the nature of these promotional deals, whether due diligence was conducted before associating with the companies, and whether taxes were paid on the earnings.
Origins of the Investigation: A Case Rooted in Fraud
The money laundering case against Surana Group and Sai Surya Developers originated from a Cyberabad Police investigation. Sai Surya Developers came under the radar after complaints were lodged accusing the firm of collecting huge sums of money from the public under the false promise of launching a real estate venture in Vatti Nagulapalli. The firm’s Managing Director, Satish Chandragupta, was arrested following the complaints.
The ED took up the case based on the findings of the Cyberabad Police. Parallelly, the Central Bureau of Investigation (CBI) has also registered three cases against the Surana Group for allegedly defrauding three public sector banks of Rs 3,986 crore by availing loans under false pretenses and failing to repay them.
In 2021, ED had previously raided the Surana Group, resulting in the seizure of gold and cash worth Rs 11.62 crore. These actions were part of a broader investigation into financial crimes involving several corporate entities in South India.
Shell Companies, Dummy Directors, and Offshore Routes
Investigators believe that the Surana Group created an elaborate network of shell companies and dummy directors to mask the origin and movement of funds. The ED claims that the group used offshore companies based in Singapore, the Cayman Islands, and the British Virgin Islands to launder money, invest in real estate, and acquire assets in India under benami names.
The probe also revealed that funds were routed through Singapore-based firms and then used to purchase properties in India. Several of these properties have already been identified and attached under the Prevention of Money Laundering Act (PMLA).
So far, the ED has attached immovable properties worth Rs 113.32 crore belonging to Surana Group companies. In 2022, the agency arrested Dinesh Chand Surana and Vijay Raj Surana, key promoters of the group, along with dummy director Anand Prabhakaran.
What’s Next for Mahesh Babu?
While the ED’s notice to Mahesh Babu does not confirm his involvement in any wrongdoing, it signals the agency’s intent to examine all financial relationships linked to the case. The actor, who enjoys massive popularity in South India, has not yet issued an official statement regarding the notice.
Industry insiders believe that the inquiry could have a ripple effect in the Tollywood film industry, prompting greater scrutiny of celebrity-brand associations and their financial dealings. As the ED intensifies its investigation, more names could surface in the coming weeks.
For now, all eyes are on April 27, when Mahesh Babu is expected to appear before the ED. His statement may play a crucial role in shaping the future course of the investigation.