VIP Security Constable Among Victims in Major Hyderabad Land Investment Scam
Hyderabad has become the epicenter of a significant criminal investigation after a police constable assigned to VIP protection duty and several others alleged they were defrauded of nearly Rs 2 crore in a collapsed land deal. The Central Crime Station (CCS) in Hyderabad launched the probe following a formal complaint detailing an elaborate investment scheme that promised extraordinary returns from prime real estate in Andhra Pradesh.
Constable's VIP Connections and Initial Contact
The primary complainant, 39-year-old Shaik Vali, serves as a constable with the 2nd Battalion of Andhra Pradesh Special Police based in Kurnool. Vali has been deployed on protection duty at the Hyderabad residence of former Andhra Pradesh Chief Minister N Chandrababu Naidu since 2017 and was recently posted as personal security officer to AP Law Minister Mohammed Farooq.
In July 2023, Vali came into contact with the accused, Addepally Lakshmi, who frequently visited the premises where he was stationed. Lakshmi presented herself as an activist with the Telugu Desam Party (TDP) and began promoting what would become a devastating financial scheme.
The Lucrative Land Promise and Escalating Investments
Lakshmi allegedly claimed ownership of four acres of valuable land in Mangalagiri, asserting that each acre could fetch an astonishing Rs 10 crore on the market. Citing urgent needs for development funds and regulatory permissions, she sought initial investments of Rs 5 lakh with a promised monthly interest rate of 2%.
Vali initially transferred Rs 1 lakh via UPI in June 2023 and, captivated by the prospect of high returns, continued sending money in multiple instalments until his total investment reached Rs 29 lakh. To bolster confidence among potential investors, Lakshmi introduced Vali to vegetable trader M Mallesh and individuals posing as bank officials who falsely claimed she maintained a Rs 25 crore fixed deposit.
Multiple Victims and Mounting Financial Losses
Between July 2023 and July 2025, Vali, Mallesh, and six other individuals collectively paid Lakshmi over Rs 1.99 crore based on her assurances of substantial returns from the land development project. Initially, Lakshmi made small interest payments to maintain the illusion of legitimacy before abruptly ceasing all payments.
"She initially paid small amounts toward interest but later stopped the payments completely," Vali stated in his police complaint. "Mallesh and I confronted Lakshmi at her Chintal Basti residence in July 2025. She, along with her brother Srinivas and sons Mohan and Venkatesh, promised settlement within two months."
Tragic Turn and Suspicious Death
The situation took a dramatic turn when Vali later discovered that Lakshmi had allegedly died by consuming pesticide in an agricultural field at Peddakakani in Guntur district on November 10, 2025. Local police registered a case of suspicious death following the incident, adding another layer of complexity to the ongoing investigation.
"We came to know that large portions of the money collected from us by Lakshmi had been transferred to bank accounts belonging to her sons and a man identified as Suresh," Vali complained to authorities. "They cheated us in collusion with Lakshmi by not returning the amount. Initiate appropriate legal action."
Formal Case Registration and Investigation Progress
Based on Vali's detailed complaint, CCS police formally registered a case on February 10 under specific sections of the Bharatiya Nyaya Sanhita, including Section 318(4) for cheating and Section 61(2) for criminal conspiracy. The investigation marks a significant development in what appears to be a carefully orchestrated financial fraud.
"We sought evidence from the complainant about money transactions with the accused," a CCS official explained. "Based on the evidence gathered during the preliminary probe, we will proceed further with the investigation to determine the full scope of this alleged fraud and identify all responsible parties."
Broader Implications and Ongoing Scrutiny
This case highlights several concerning elements, including the exploitation of trusted community connections, the use of false credentials to establish credibility, and the targeting of individuals with access to VIP circles. The involvement of a police constable on sensitive security duty adds particular significance to the investigation's outcome.
Authorities are now examining financial records, transaction histories, and potential connections between the accused parties to unravel what appears to be a multi-layered investment scam that spanned more than two years and ensnared multiple victims through promises of unrealistic returns from prime Andhra Pradesh real estate.
