HYDERABAD: The Economic Offences Wing (EOW) of Cyberabad police has registered a cheating case against BJP leader and businessman Gajjala Yoganand following allegations that he duped a US-based NRI businessman of ₹24.5 crore by promising partnership and share allotment in his companies.
Yoganand denied the allegations, calling them false and misleading, and said the matter was linked to ongoing insolvency proceedings before judicial forums.
The complaint was lodged by Pavan Kumar Nallamala, 54, a businessman and US citizen originally from Andhra Pradesh, before the Deputy Commissioner of Police, Crimes and EOW, Cyberabad, on May 8, 2026. Police registered the FIR based on the complaint and supporting material.
According to the complaint, Nallamala alleged that he had known Gajjala Yoganand since 2014 through business interactions. During a visit to India in 2019, he met Yoganand at the Manjeera Mall office in Kukatpally, now operating as Lulu Mall.
Investments made between 2019 and 2024
The complainant alleged that Yoganand, who operates Manjeera Hotels & Resorts Pvt Ltd and other associated companies, persuaded him to invest in hotel and related business ventures by assuring him of partnership and share allotment.
Police said the complainant transferred ₹24,53,00,000 between 2019 and 2024 through RTGS and NEFT transactions from his State Bank of India account in Vijayawada to multiple accounts allegedly provided by Yoganand.
The complainant stated that he invested the money believing he would receive shares and become a partner in the companies. However, despite repeated requests, no shares were transferred and no formal partnership was created.
MOU signed after repeated follow-up
The complainant alleged that after sustained follow-up, Yoganand executed a Memorandum of Understanding on November 9, 2024, at the Manjeera Hotels & Resorts office in Kukatpally. In the agreement, he allegedly acknowledged receipt of the money and promised to allot shares and complete registration formalities.
Nallamala alleged that after he returned to the United States, Yoganand claimed that share transfer formalities had been completed but failed to provide share certificates or Registrar of Companies filings.
According to the complaint, enquiries made with Tourism Finance Corporation of India later revealed that the shares had already been pledged and no transfer process had been initiated in favour of the complainant.
Threat allegations included in complaint
The complainant further alleged that in February 2026, Yoganand attempted to pressure him into signing a fresh undated Memorandum of Understanding with altered terms. When he refused, Yoganand allegedly threatened him with serious consequences, including death threats.
Police said the complainant accused Yoganand of inducing investments through false representations and misappropriating the funds while concealing that the shares were already pledged with Tourism Finance Corporation of India.
The FIR was registered following instructions from the Deputy Commissioner of Police, Crimes and EOW, Cyberabad.
Yoganand says allegations are false and matter is in tribunal
Responding to the allegations, Yoganand and his legal counsel said the claims were false and legally sensitive as the matter was already before courts and tribunals under the Insolvency and Bankruptcy Code (IBC).
In a statement, they said Nallamala had advanced funds to Manjeera Constructions Ltd and Yoganand in 2021 as unsecured loans for real estate business activities and not as investments linked to share allotment.
The statement said Manjeera Constructions Ltd and Yoganand were currently undergoing proceedings before the National Company Law Tribunal (NCLT), National Company Law Appellate Tribunal (NCLAT) and the Supreme Court.
Yoganand's counsel further alleged that Nallamala had been staying at a hotel in Gachibowli managed by a third party for the past six months and had unpaid dues of about ₹33.8 lakh.
According to the statement, hotel management had issued invoices seeking payment of the outstanding amount, after which the complaint was allegedly filed.
The statement also objected to references describing Yoganand as a BJP leader, stating that he was not presently associated with any political party and was focused on business operations.
Police said further investigation is underway.