Posh hotel office, private chopper, a ‘diplomat’: How Delhi firm pitched ‘Indo-US’ scam - The Indian Express

Last September, Sanjiv Rao made an investment of Rs 1.08 lakh in a Delhi-based company that he had been introduced to through a friend who had already invested in it.

The company, VPVV Techno Construction Pvt. Ltd., had told them it was recognised as ‘Principal Developer’ by the Federal Government of the United States of America and the United States Department of Defence (DOD) to implement a massive infrastructure and development initiative under an ‘Indo-US Pacific Peace Treaty’ project.

Rao said its office, operating out of an upscale hotel in Delhi, had all the trappings of what it claimed to be.

“The office displayed large Indian and American flags, and photographs of the Prime Minister of India and the President of the US. An employee also presented a detailed 3D video of the proposed project, and the graphics were very convincing,” he said.

Rao said he had even been presented with an “MoU” to seal the deal.

“The MoU stated that VPVV had received a US government work order approved by the Government of India. It had seals of the national emblems of both countries to convince us that it was a government-backed project,” he said.

A few months in, Rao, who runs an electrical items dealership, began to reconsider what he had gotten himself into — he heard from “reliable sources” that the project was fake. He then began pressuring the company to return his earnest money deposit (EMD).

While he got the money back in January, the matter did not end there.

“After recovering my investment, I posted a message on X in good faith, advising prospective investors to conduct proper due diligence. Several people, mainly from Kerala, subsequently contacted me and alleged that they had suffered significant financial and personal losses after investing (in the project) on the promise of unusually high returns,” he said.

Rao decided to file an Right to Information (RTI) request with the Ministry of External Affairs (MEA) to answer a question that nagged him.

“Whether the Government of India, or any of its ministries/departments/embassies, has entered into, recognised, or acknowledged any such agreement, MoU, treaty, or arrangement with VPVV or any related entity,” the RTI asked.

The reply from the MEA arrived on May 18: “No such proposal, communication or representation has been received from VPVV Techno Construction Pvt. Ltd. or its representatives by the Ministry of External Affairs.”

This formed the basis of a July FIR registered against VPVV’s promoters Venkita Venkat, Hitesh Kumar, and Rahul Rajeev Nair, who were arrested by the Delhi Police on August 28.

The complaint, on the basis of which the FIR was registered, had been filed by another investor, Madhu Nambiar, director of Bengaluru-based technology firm SRIT India Ltd, who had made a much larger financial commitment than Rao.

In 2023, SRIT had entered an agreement to pay Rs 1.75 crore to VPVV after being promised annual work orders worth Rs 500 crore at a 20% profit margin.

The RTI reply confirmed suspicions that had grown after the promises failed to translate into reality.

The FIR was lodged at Vasant Vihar police station for cheating and dishonestly inducing the delivery of property; forgery of a document or electronic record for the purpose of cheating; and use of forged documents or electronic records as genuine, despite knowing or having reason to believe they are forged.

According to the FIR, at meetings conducted in the VPVV office, investors were introduced to a man the promoters claimed was a diplomat and who they referred to as “Dr Saab”. He was presented as the “Chief Patron” of the company.

It claimed that investors were told the investments into VPVV ran into billions of dollars. They were also informed that “all necessary governmental approvals, sanctions and clearances had either been obtained or were in advanced stages in the process of being released”, and that substantial project funding had already been sanctioned or was in the works.

It said that investors were even invited to a “Bhoomi Poojan” at Tuticorin in Tamil Nadu on December 8, 2023.

“The National Flag of India and the National Flag of the United States of America had been prominently displayed at the venue, apparently with the intention of creating an impression that the project was officially connected with and sanctioned by governmental authorities…,” stated the FIR.

It said that two of the accused, Venkita Venkat and Dr Saab, even arrived in a private helicopter, “further reinforcing the impression that the project was genuine”.

Besides this, several tactics were allegedly used by the accused to show investors they were the real deal.

According to investors, the accused allegedly shared a promotional newsletter and brochure with investors on a WhatsApp group in May 2024, claiming they were gifted a “rare collection golden pen” from the US Congress.

“Dear Team, get ready to be thrilled by some extraordinary news that we just received! Our Chairman, Mr. Venkita Venkat, is being honored with an adorable and truly exceptional gift — a very rare collection golden pen – from the United States Congress, presented by the Honorable President, Joseph Robinette Biden Jr. and Vice President, Kamala Harris.

“In addition to this cherished gift, Mr. Venkat will also be receiving an appreciation letter that acknowledges his remarkable leadership, dedication, and accomplishments…,” the purported letter claimed.

In a purported video call with over 230 people in September 2024, investors claimed Venkat was allegedly heard giving certain instructions for an upcoming visit to a “vault”. He asked women to remove their mangalsutras and other ornaments, claiming that they will be exposed to “radioactive materials” that can record and see them.

Investors claimed he urged participants to enter the vault with positive thoughts, stating that the materials inside are “lively elements” capable of reading a person’s personality and issuing a “report card”.

In another purported videocall on August 15 last year, Venkat was heard wishing attendants a happy (79th) Independence Day and praising PM Narendra Modi’s speech, claiming the PM had referenced their specific project and officially named it the “Sudarshan Chakra Mission”.

Rao, meanwhile, claimed he was shocked to see a purported full-page advertisement by VPVV in a Malayalam language newspaper on July 15 this year displaying the name and photograph of the PM. He said he sent a complaint to the PM Office.

“… Given VPVV’s earlier claims… on the purported ‘Indo-US Pacific Peace Treaty’, I felt this could create an impression of official association or approval… I approached the PMO seeking clarification…,” Rao told The Indian Express.

Apart from this FIR, there are currently seven more related cases against the accused being investigated in Kerala.

The three promoters, meanwhile, were granted bail on September 2 by a magistrate court in Patiala House Court after they agreed to repay a total of Rs 2 crore as a mutual settlement to the complainant (Nambiar).

“Present dispute arises from accused persons entering into an agreement with the complainant company on the basis of a bogus claim that their company is being funded by the US government. Thus, the entire grievance of the company is the financial loss he suffered due to accused persons failing to honour the agreement,” stated the order, noting that the Investigating Officer in the case “never objected to the bail on grounds of pending investigation”.

When asked about the case, the Delhi Police said it is under investigation.