Multi-Crore Car Rental Scam Busted in Thane: 1,375 Investors Duped of ₹20 Crore

According to a news report, Authorities in Maharashtra’s Thane district have uncovered a large-scale car rental investment scam in which at least 1,375 investors were allegedly defrauded of nearly ₹20 crore. The Mira-Bhayandar Vasai-Virar (MBVV) police arrested 2 individuals in connection with the scheme and have recovered 246 vehicles that were purchased by the victims.

The Modus Operandi: Promises of High Monthly Returns

According to police reports, the key accused, Sandeep Suresh Kandalkar also known by the alias Raju Rajiv Joshi enticed investors into purchasing pickup tempos and four-wheelers. He assured them of lucrative monthly returns ranging from ₹55,000 to ₹75,000 in exchange for allowing the vehicles to be used for rental purposes.

The scheme was pitched as a commercial vehicle deployment opportunity at strategic locations such as airports and the Jawaharlal Nehru Port Trust. The proposals were formalised through agreements made on ₹100 stamp papers, and payments were collected via online transactions.

Read More: Investment Scams: Spotting and Stopping Them. 

The Initial Illusion of Legitimacy

To build credibility and gain investor trust, Kandalkar reportedly fulfilled the promised returns during the initial months. This tactic further encouraged others to invest. However, once a substantial number of investors had entered the scheme, the payouts stopped, triggering suspicion and complaints.

Investigation and Recovery Efforts

Following the registration of a formal complaint on 20 April, the MBVV police initiated an in-depth investigation. As a result, 246 vehicles were traced and recovered from various states, with an estimated combined value of around ₹25 crore.

These vehicles had been operating under fraudulent arrangements, and many were unaware that they were part of a broader scam.

A History of Deceit

Investigators have revealed that Kandalkar has a long-standing criminal background, with at least 13 cases of cheating and misappropriation registered against him in cities including Mumbai, Navi Mumbai, Pune, Nashik, and Bharuch in Gujarat.

Given the scale and nature of the fraud, provisions under organised crime legislation have also been invoked.

Conclusion 

The case highlights the increasing sophistication of financial frauds and underscores the importance of regulatory oversight and investor caution in non-traditional investment schemes. The investigation remains ongoing as authorities continue to trace assets and identify further accomplices.

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