Indian-Origin Financier Arrested in US Over $100 Million Fraud Case
A prominent Indian-origin businessman based in California has been arrested by US federal authorities in connection with an alleged large-scale financial fraud that reportedly caused losses approaching $100 million to a federally insured bank.
The accused, Mahender Makhijani, 44, was taken into custody at his residence in the upscale coastal community of Corona del Mar in Newport Beach. Investigators have accused him of orchestrating a sophisticated financial scheme involving real estate lending and the misuse of bank funds.
According to prosecutors, Makhijani managed a Newport Beach-based financial firm that had obtained a substantial credit facility from a federally insured banking institution. The funding was intended to support real estate loan purchases and financing activities.
Federal authorities allege that between late 2024 and early 2025, records connected to loan transactions were manipulated in an effort to conceal the movement of funds. Investigators claim documents were altered and money was routed through multiple corporate entities and bank accounts to obscure its trail.
Court documents further allege that a significant portion of the funds was spent on luxury purchases and an extravagant lifestyle. Prosecutors claim the businessman invested heavily in private air travel, high-end vehicles, designer products, and premium real estate properties.
The investigation has also raised allegations concerning private gatherings attended by associates and individuals connected to the business. Prosecutors claim these events were later used to influence or pressure certain participants.
In addition, authorities have accused Makhijani of employing associates to gain control over business properties, including hospitality establishments in Southern California. These allegations remain part of the ongoing federal case.
If convicted on all charges, Makhijani could face a lengthy prison sentence under US federal law. The case is expected to draw significant attention as investigators continue examining the alleged financial transactions and business activities connected to the scheme.
Federal agencies have stated that the investigation remains active, and additional court proceedings are expected in the coming months.
