Former IAS Officer Dayachari Ponnekanti Faces Fresh Cheating Allegations in $500K Scam
The Hyderabad Central Crime Station (CCS) has registered a new cheating case against former Indian Administrative Service officer Dayachari Ponnekanti. The case involves allegations of defrauding a United States-based software entrepreneur of half a million US dollars through a purported sea sand mining venture in Indonesia.
Details of the Complaint and Allegations
The case was officially registered on February 18 under Section 420 (cheating) of the Indian Penal Code. The complaint was filed by Vikramaditya Boppudi, a 57-year-old chief executive officer of Prime Solutions Inc based in Washington DC. The case names both APIND Financial Services Pvt Ltd and Dayachari Ponnekanti as accused parties.
According to the detailed complaint, Vikramaditya Boppudi alleges that Dayachari Ponnekanti, who previously served as chairman of the Tobacco Board and Director General of MRHRD, induced him to invest in what was presented as a "turn-key, government-cleared" export project in 2012. The venture was supposedly designed to supply marine sand from Indonesia to Singapore.
How the Alleged Fraud Unfolded
The complainant states that during meetings held at Dayachari's office in Jubilee Hills, Hyderabad, the retired bureaucrat presented official-looking documents bearing Government of India emblems. These documents were used to lend credibility to the venture and convince Vikramaditya of its legitimacy.
Dayachari allegedly insisted that an immediate transfer of half a million dollars was necessary to proceed with the project. The funds were to be sent to multiple accounts located in Hyderabad, Singapore, the United States, and Thailand. Following these assurances, Vikramaditya transferred a total of $540,000, which was equivalent to approximately 3.16 crore rupees at the 2012 exchange rate.
In return for this substantial investment, Vikramaditya was promised a 16.67% stake in the proposed joint venture. The complainant provided evidence to police showing that Dayachari acknowledged receipt of the money in November 2013 through email correspondence. Over subsequent years, Dayachari repeatedly assured Vikramaditya that share certificates would be issued for his stake in the venture.
Failed Promises and Multiple Agreements
Despite these assurances, no shares or refunds ever materialized. Vikramaditya detailed his efforts to resolve the situation, including personal visits to Hyderabad, numerous follow-up emails, and multiple memoranda of understanding. The most recent agreement was executed in September 2024 and promised an 8 crore rupee settlement through the sale of land in Patancheru, but this too failed to produce any results.
The complaint also mentions another similar cheating case registered by the CCS in 2025 based on a complaint from the same NRI investor against Dayachari Ponnekanti. This indicates a pattern of alleged fraudulent activities spanning several years.
Police Investigation and Previous Case
CCS police officials confirmed that they are actively investigating the current case and collecting evidence. They also noted that a previous case from 2015, in which the same complainant stated he was duped of half a million US dollars, remains under investigation. The police are examining the connections between these multiple allegations against the former IAS officer.
The case highlights serious concerns about financial fraud involving former government officials and international business ventures. As the investigation progresses, authorities are expected to examine bank records, email communications, and documentary evidence to determine the full extent of the alleged fraudulent activities.
