Delhi Police bust Rs 200 crore fake bank-auction racket; DLF Camellias ‘deal’ exposes nationwide scam

Fake SBI auction documents were used to sell disputed or non-existent luxury properties at steep discounts, police say.

The arrest of five people in a Rs 12.04 crore fraud involving a non-existent flat at DLF Camellias has exposed a nationwide property scam that police say has duped victims of over Rs 200 crore across multiple states, according to a report by The Indian Express.

The case, investigated by the Delhi Police Crime Branch, centres on forged bank-auction documents falsely attributed to State Bank of India, a tactic officers say was used repeatedly to sell disputed or fictitious luxury properties at steep discounts.

How the fraud worked

In August 2024, a woman searching for a high-end home in Gurugram was introduced to Abhinav Pathak, a medicine distributor who claimed access to a premium flat at DLF Camellias for Rs 12.04 crore, nearly half the market price.

According to The Indian Express, Pathak told her the property had been acquired through a bank auction, a process typically used to recover bad loans, making the discounted price appear legitimate.

According to police, representatives of M/s MG Leasing & Finance then showed her forged sale certificates, auction receipts and covering letters, all purportedly issued by SBI.

“In August 2024, the complainant was approached by M/s MG Leasing & Finance. Representatives showed her meticulously forged documents — sale certificates, covering letters, and auction receipts, all purportedly from the State Bank of India,” DCP (Crime Branch) Aditya Gautam told The Indian Express.

Between August and October, the victim transferred Rs 12.04 crore through RTGS and demand drafts. The fraud came to light only after the bank confirmed that every document was fake. A police complaint was filed on June 13 this year.

Money trail and arrests

Investigators traced the funds to a proprietorship firm owned by Mohit Gogia, triggering searches across Delhi-NCR, Bhopal and Mumbai. Gogia went underground but was tracked through technical surveillance.

On November 22, a Crime Branch team intercepted him near Doiwala on the Rishikesh–Dehradun Road while he was fleeing from Mumbai.

Gogia’s arrest led to four more arrests. Police said property dealer Vishal Malhotra opened an HDFC Bank current account to route the money, withdrawing large sums to pass on to Ram Singh alias Babaji for commission. Sachin Gulati allowed his IDFC First Bank account to be used for rotating funds, while Bharat Chhabra prepared forged documents using specialised software.

Pathak, who introduced the complainant to the deal, received a share of the proceeds.

A larger, repeat-play scam

Police say Gogia identified mortgaged, disputed or entirely bogus properties, fabricated title and auction documents, and layered proceeds through multiple accounts and firms to obscure the trail.

Funds eventually moved to Babaji Finance, run by Ram Singh, where the money was circulated at high interest rates. Gogia allegedly retained 40 percent of profits, while Singh took 60 percent.

Police records show Gogia is wanted in 16 similar cases across Delhi, Punjab, Madhya Pradesh and Goa since 2019, all involving forged mortgage or auction documents.

Investigators say the scam exploited a growing public belief that distressed-property auctions offer safe bargains, a perception reinforced by rising luxury home prices in NCR.

Unlike routine property frauds, this racket leaned heavily on forged bank paperwork, giving victims a false sense of institutional legitimacy.