New Delhi: After allegedly evading law enforcement agencies for nearly 13 years, an accused linked to a major pharmaceutical fraud case has been arrested by Delhi Police from Gujarat’s Surat.
Investigators said the accused allegedly used fake business identities, forged documents and dishonoured cheques to obtain pharmaceutical raw materials worth around ₹98 lakh from companies in Delhi. The accused, identified as Himmat Singh Lodha, had reportedly been absconding for years while frequently changing locations and identities to avoid arrest.
Closed-Account Cheques and Proclaimed Offender Status
According to investigators, the accused allegedly approached pharmaceutical companies posing as a legitimate businessman and company operator. He would place large orders for costly raw materials used in medicine manufacturing and provide post-dated cheques as payment assurance. In one case registered in 2013, the accused allegedly obtained nearly 550 kilograms of Gliclazide, a key pharmaceutical ingredient valued at more than ₹26 lakh. Officials said that when the company later deposited the cheques for payment, they were dishonoured with the remark “account closed.”
Investigators stated that shortly after securing the consignment, the accused allegedly vacated both his office and rented residence before disappearing. After repeatedly failing to appear before the court, he was declared a proclaimed offender in 2016. Authorities had also announced a reward of ₹50,000 for information leading to his arrest, but he reportedly managed to stay out of police reach for several years.
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Identity Multiplicity and Ingredient Divertment
During the investigation, police reportedly uncovered another cheating case linked to the accused dating back to 2012. In that matter, he allegedly used a fake identity under the name “Kailash Jain” to fraudulently obtain approximately 2,575 kilograms of Ambroxol HCL from another pharmaceutical company. The value of the consignment was estimated at nearly ₹72 lakh. Investigators believe the accused relied on forged business records, fabricated company credentials and fake financial profiles to gain the confidence of suppliers.
Officials said the method used in both fraud cases appeared to follow a similar pattern. The accused allegedly projected himself as a trustworthy businessman, secured expensive consignments through deferred payment promises and later shut down offices and cut communication with suppliers to avoid repayment. Investigators suspect the operations were carefully planned in advance to delay legal proceedings and avoid immediate detection.
Multi-City Technical Surveillance and Interception
A Crime Branch team reportedly spent nearly a month tracing the accused using technical surveillance, intelligence inputs and digital tracking. During the operation, investigators developed leads from Mumbai, Ahmedabad and Surat before finally locating and arresting him from a township area in Surat. Authorities said the accused had allegedly been involved in property dealing activities in Surat and Mumbai while remaining underground.
The case has once again highlighted the growing threat of organised financial fraud involving fake companies, forged documentation and fabricated business identities. Experts say many fraudsters exploit gaps in commercial verification systems by creating fake GST records, temporary offices, forged visiting cards and fabricated trade histories to appear credible before targeting businesses with high-value transactions.
Commercial Verification Loops and Background Validation
Cyber and economic crime experts believe such fraud networks have become increasingly sophisticated with the rise of digital documentation and online business verification systems. In several cases, companies rely heavily on paperwork and post-dated cheques without independently verifying the physical existence or financial credibility of buyers, making them vulnerable to organised fraud operations.
Renowned cyber crime expert and former IPS officer Prof. Triveni Singh said economic offences involving fake corporate identities and fabricated financial profiles are becoming more complex and difficult to detect. According to him, companies must independently verify business operations, banking credentials and trade records before approving large consignments or deferred-payment transactions. He warned that relying solely on digital documents or online business profiles can lead to significant financial losses.
Experts have advised companies to strengthen vendor verification systems and conduct physical inspections, banking validation and background checks before entering into high-value commercial deals. They noted that industries such as pharmaceuticals, where raw material consignments often involve transactions worth crores of rupees, require stricter due diligence and multi-level verification processes to prevent organised financial fraud.
