Hyderabad. The Central Bureau of Investigation (CBI) has registered an FIR against QNet and 15 others in connection with the death of a young man in Telangana’s Siddipet district, amid allegations of financial fraud and money circulation activities. The case is linked to Badugu Harikrishna, a resident of Velur village in Vargal mandal. According to the complaint and FIR, Harikrishna had borrowed money through digital lending platforms and invested funds in online betting, gaming applications and QNet-related activities. He allegedly suffered financial losses of around ₹4 lakh.
Harikrishna died at his home on October 9, 2025. Following his death, his father approached the police and lodged a complaint. A case was initially registered at Gowraram Police Station in Siddipet district. As the investigation progressed, the case was transferred to the Telangana Crime Investigation Department (CID). The investigation was taken over by the CID on March 4, 2026. The state government later decided to hand over the case to the CBI.
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After reviewing the documents and investigation records received from the CID, the CBI re-registered the case as a Regular Case and filed its own FIR. The FIR names QNet, Vihaan Direct Selling India Private Limited, certain directors associated with the company and alleged direct-selling associates. A total of 16 accused have been named in the case.
The central agency will examine how the alleged investment and money-circulation activities were carried out and determine the respective roles of the people and entities named in the FIR. The investigation is also expected to focus on the financial transactions linked to Harikrishna and the circumstances preceding his death.
A key part of the investigation will be to trace the money borrowed by Harikrishna through digital lending platforms, how the funds were subsequently used and how the alleged losses occurred. The CBI may also examine financial records, bank accounts, transaction details and documents related to investments involving QNet and associated entities.
The FIR invokes provisions of the Bharatiya Nyaya Sanhita along with the Prize Chits and Money Circulation Schemes (Banning) Act. The provisions will be examined in the context of the alleged money-circulation and investment activities. The allegations contained in the FIR remain subject to investigation, and the roles or liability of the accused will be determined through the legal process.
The investigation will also examine Harikrishna’s financial condition and the circumstances surrounding his death. The complaint reportedly states that he was facing financial difficulties. It has also been reported that he left a note before his death referring to financial problems. The CBI is expected to examine the note and other available evidence to establish the circumstances in which the financial pressure developed and whether the alleged investment activities played a role.
The transfer of the case to the CBI followed a multi-stage investigation. After the initial police inquiry, the matter was transferred to the Telangana CID and subsequently handed over to the central agency following the state government’s decision. The CBI will now examine the documents collected during the earlier investigation along with financial and other evidence.
Telangana has previously witnessed police action in cases involving alleged QNet-linked money-circulation activities. In March 2026, police arrested 32 people in cases involving alleged illegal money-circulation activities across Telangana, Andhra Pradesh and Karnataka. Those cases involved allegations of collecting money through a multi-level marketing network and related investment activities.
In the Siddipet case, the CBI will now investigate the alleged financial network, the roles of the accused, the methods through which investments were made and the transactions connected with Harikrishna. The agency will also examine the evidence supporting the allegations in the FIR and determine the circumstances surrounding the young man’s financial difficulties and death. Further details are expected to emerge as the investigation progresses.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
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