Telugu superstar Mahesh Babu has been summoned by the Enforcement Directorate (ED) to appear for questioning on April 28, 2025, in connection with a money laundering investigation involving Hyderabad-based real estate entities Sai Surya Developers and the Surana Group.
The agency is probing financial transactions between the actor and Sai Surya Developers, which allegedly paid him Rs 5.9 crore for promotional campaigns. Of this amount, Rs 3.4 crore was transferred via formal banking channels, while Rs 2.5 crore is believed to have been handed over in unaccounted cash, sources said. The legality and origin of this cash component have become a central concern in the ongoing probe.
Though Mahesh Babu has not been named an accused, the ED is looking into whether the payments made to him could be linked to funds collected from investors who were allegedly defrauded by the real estate firms. According to officials, the actor’s endorsement of these firms’ projects is under scrutiny as part of the broader financial investigation.
Multiple Complaints Filed with Telangana Police
The case originally emerged from multiple complaints filed with the Telangana Police, which triggered formal FIRs against key individuals including Narendra Surana, Director of Bhagyanagar Properties Ltd., and K. Sathish Chandra Gupta, the owner of Sai Surya Developers. These developers are accused of deceiving homebuyers by collecting substantial advances for residential plots and failing to honor commitments.
On April 16, ED officials launched a series of raids across four properties in Hyderabad and Secunderabad, including premises in Madhapur, Bowenpally, and Jubilee Hills. These searches resulted in the seizure of significant evidence, including incriminating documents and unaccounted cash totaling Rs 74.5 lakh. The documents reportedly reveal details of fraudulent financial operations and false agreements with potential buyers.
The financial misconduct, as per the ED’s preliminary findings, involved unauthorised land layouts, reselling the same plots to different clients, and accepting payments without executing legitimate contracts. These tactics, the agency believes, were used systematically to generate illicit funds which were subsequently laundered and diverted.
ED Traces Rs 100 Cr Fraud in Realty Scam
The probe has so far uncovered undisclosed transactions exceeding Rs 100 crore, suggesting an elaborate scheme of defrauding investors and laundering proceeds through various fronts. The money trail, the ED says, is being traced to determine the extent of the scam and the individuals or entities that may have benefited from it.
A senior official close to the investigation stated that while Mahesh Babu is not a primary target of the case, his testimony will help establish whether he was aware of the financial irregularities when he endorsed the group’s projects. The agency is currently focusing on the cash element of his remuneration, which could potentially be linked to proceeds of crime.
The ED has invoked provisions of the Prevention of Money Laundering Act (PMLA), 2002, in this case, with further questioning and forensic examination of seized materials expected in the coming weeks.
