KHAMMAM: A 12-member group, which remarkably included a Reserve Sub-Inspector (RSI) and a constable from the Telangana State Special Police (TGSP), has been taken into custody by the Sathupalli police in Khammam district. The ring is accused of defrauding citizens using toy currency and staging fake police raids to extort money.

According to Kalloor ACP Vasundhara Yadav, the breakthrough came following a complaint filed on June 25 by an Andhra Pradesh resident, Kurra Gangadhar Reddy. A targeted operation led by Inspector T Srihari successfully apprehended the suspects in Gangaram.

How the Scam Operated

The syndicate used untraceable SIM cards to cold-call random targets. The ringleader, Eeda Chanti Babu, would pose as a wealthy real estate developer and claim he needed to launder ₹2 crore of "black money" due to tax complications. He enticed victims by promising to quadruple any cash or bank transfers they provided.

Once a victim was lured to a specific spot with their funds, an accomplice would arrive with a bag of prop money. While the victim’s genuine cash was being counted, other gang members would ambush the scene in a simulated police raid. Posing as law enforcement, they would assault and terrify the victims—accusing them of dealing in counterfeit cash or being wanted criminals—before fleeing with the real money.

Insider Involvement and Seizures

The operation was heavily aided by active law enforcement personnel. TGSP Constable Mullagiri Vardhan and RSI Bera Keshava Rao allegedly supplied authentic and counterfeit police uniforms, provided a mock police vehicle, and actively participated in the staged shakedowns.

During the arrests, authorities confiscated:

  • ₹17.60 lakh in genuine currency

  • 80 bundles of children's play money (₹500 denominations)

  • Three cars (two Innovas, one Ertiga) and a scooter

  • 16 mobile phones

  • Police uniforms, raincoats, and a pair of handcuffs

Legal Action

Alongside the mastermind and the two TGSP officers, nine other accomplices have been remanded to judicial custody. Meanwhile, two individuals accused of supplying the fraudulent SIM cards remain at large.

The Sathupalli police have registered a comprehensive case against the group under the Bharatiya Nyaya Sanhita (BNS), invoking charges that include dacoity, cheating, criminal conspiracy, personation of a public servant, and attempt to murder.