An executive of a Non-Banking Finance Company (NBFC) has been arrested for allegedly duping at least 66 people of around ₹38 lakh by luring them with two-wheelers at prices significantly below the market rate. The accused, identified as Dhaval Khudai, was apprehended by Porbandar police after documentary evidence allegedly established his role in the fraud.
According to investigators, Khudai was posted at a two-wheeler showroom in Ranavav as part of his job profile with an NBFC that specialises in vehicle and personal loans. Police said he targeted customers eager to buy new bikes by offering steep discounts in exchange for full cash payment.
Inspector NN Talaviya of Ranavav police station said the accused would pitch a motorcycle priced at around ₹95,000 for ₹75,000 in cash. “He collected the entire amount from customers and, without their knowledge, processed a loan in their name,” the officer said.
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OTP Trickery and Loan Cover-Up
Police said Khudai used a portion of the collected cash to pay the down payment and a few initial EMIs on the fraudulent loan to avoid early suspicion. To complete loan formalities, he allegedly tricked customers into sharing one-time passwords (OTPs), claiming they were needed for vehicle registration. If buyers received loan-related messages from banks or finance companies, he reportedly dismissed them as technical errors.
The fraud came to light two to three months later when victims began receiving calls from lending institutions demanding repayment of overdue instalments.
Victim Case and Fake NOC Scheme
The case was registered at the Ranavav police station under sections 318(4), 338 and 340(2) of the Bharatiya Nyaya Sanhita (BNS). Police said the FIR includes details of 66 victims identified so far and that more complainants may surface.
In one instance cited in the complaint, Prakash Dhandhas alleged he was persuaded to exchange his 2024 model financed bike. Khudai allegedly promised him a new bike upon payment of two additional instalments on his existing loan plus ₹10,000 in cash, assuring that no fresh loan would be taken. Though Dhandhas received a new vehicle, he later discovered that a loan of about ₹80,000 had been taken in his name for the new bike, while the old loan remained unpaid.
Investigators further alleged that the accused created a fake No-Objection Certificate (NOC) to show the previous loan as cleared and subsequently sold the old bike to a used-vehicle broker.
Police Probe and Public Warnings
Police said the accused had been carrying out the fraud for nearly four months, systematically exploiting customers’ trust and limited understanding of loan documentation. Officers are now examining financial records, digital trails and communication logs to ascertain the full extent of the scam.
Authorities have urged anyone who suspects they may have been similarly cheated to approach the police and file a complaint. “We are verifying documents and bank records. More victims may come forward as awareness spreads,” an officer said.
The case has once again highlighted the risks associated with sharing OTPs and financial credentials. Police have advised customers to carefully verify loan documents, avoid making full cash payments without proper receipts and never share OTPs linked to financial transactions.
Further investigation is underway to determine whether others were involved or if similar fraudulent transactions were carried out elsewhere.
About the author – Ayesha Aayat is a law student and contributor covering cybercrime, online frauds, and digital safety concerns. Her writing aims to raise awareness about evolving cyber threats and legal responses.
