Mumbai Police have cracked a major car loan fraud case, arresting Rahul Giri Shah, a self-proclaimed Chartered Accountant, for orchestrating a Rs 2.4 crore scam. The fraud involved exploiting banking loopholes and the identity documents of unsuspecting individuals to secure multiple car loans.
Kalachowky police arrested Shah, also known as Sachin and Saurabh, on Sunday and are currently pursuing his accomplices. The scam reportedly began in August 2023, when Shah convinced Suhash Mestri, a 40-year-old supervisor, to invest in a car rental business model promising monthly profits without any risk. Shah claimed he would handle all EMIs and down payments, enticing Mestri and his wife to share their personal documents.
Using these documents, Shah obtained 15 to 18 car loans and a personal loan from banks and NBFCs like SBI, Bajaj Finance, Kotak Mahindra, AU Bank, Hero Finance, and UCO Bank, totaling Rs2.15 crore. He also collected Rs5.09 lakh for down payments and persuaded Mestri to purchase electronics on EMI.
Despite acquiring the vehicles on loans, Shah and his associates failed to pay a single installment. By early 2025, Mestri had paid Rs18.85 lakh from his savings, only to discover the vehicles were misused and the promised profits were a sham. “They exploited our trust and left us with loans for cars we never used,” Mestri lamented.
Shah was previously arrested by Achole Police (Vasai) for a similar offense but was taken into custody by Kalachowky Police following Mestri’s complaint. Investigations revealed another accomplice assisted in processing fraudulent loans and transferring funds to Shah. The vehicles were handed to Paras Botadara and Vijay Rajpurohit, suspected key figures in the racket, both of whom are now being sought by authorities.
Two cars—a Hyundai i20 valued at Rs12.96 lakh and a Hyundai i10 worth Rs8.12 lakh—have been seized. Police continue to recover the remaining vehicles and gather evidence, including digital records and bank transactions. More victims and arrests are expected as the investigation unfolds.
