Three persons were arrested by the newly formed Document Fraud Investigation Team (DFIT) on a charge of cheating gullible buyers by selling the same land to multiple buyers.
Giving details to the media here on Thursday, Police Commissioner J. Purnachandra Rao said Peela Krishna Rao of Pendurthy inherited a piece of land measuring 15 cents (736 square yards) from his late father Jagga Rao. He sold away 288.5 square yards to one Pentakota Parvathi through a registered sale deed in July 1999.
He subsequently got fake documents made for the entire land and gave it as a gift deed to his son Jagadish. They secured a loan of Rs. 3 lakh from the Pendurthi branch of State Bank of India by pledging the gift deed in 2006. The loan is still not cleared.
Krishna Rao executed another gift settlement deed for the 736 square yards of land in favour of Jagadish in March 2007.
They obtained another loan for Rs.6 lakhs from the Repco Home Finance Limited at Dwarakanagar in April 2007 and the loan was still due.
The father and son once again fabricated the gift deed document by obtaining a post-date stamp paper from a stamp vendor M.V. Ramana Murthy of Pendurthi and sold 265 square yards of the site including a house, to Vabbina Bhavani, wife of Satyanarayana for Rs.20 lakh. They again sold the remaining 471.18 square yards land to Ms. Bhavani for Rs.8.5 lakh, which included the site which was earlier sold to Ms. Parvathi.
Mr. Purnachandra Rao said that that the accused had cheated the complainant Ms. Bhavani and Ms. Parvathi for Rs.20 lakh by selling the same site twice and also cheated two banks by obtaining loans by showing the same site with fabricated documents.
The accused Krishna Rao, Jagadish and document writer Ramana Murthy were arrested at Pendurthi on Wednesday night and would be produced in court.
“We came to know that we were cheated only after seeing the possession notice issued by the bank recently in the newspapers for recovery of the loan. We lodged a complaint with the Pendurthi police,” Mr. Satyanarayana said expressing gratitude to the DFIT team and the Police Commissioner for his initiative in forming the special team.