Case Against Top IT Firm in Vizag

Visakhapatnam: A case has been registered against a leading IT company in Visakhapatnam following orders from the First Additional Chief Judicial Magistrate, after it fraudulently leased out a commercial property to Omics International Pvt. Ltd without having ownership rights. The IT firm allegedly misrepresented its ownership and leased the premises by exaggerating the square footage, collecting rent under false pretenses.

According to the FIR, the company’s Managing Director executed three unregistered lease agreements with Naveen Raju of Omics International. The first agreement, in February 2019, involved leasing the second floor (claimed 37,705 sq ft) at Rs 37 per sq ft. The second and third agreements were made in January 2021—leasing the fifth and sixth floors (claimed 35,872 sq ft) at Rs 58 per sq ft, and the ground floor (4,877 sq ft) at Rs 38.85 per sq ft, for a five-year period with a condition to register the leases within 30 days.

However, it was later discovered that the IT firm did not hold any valid title or sale deed to the property. The actual built-up areas were significantly lower—22,623 sq ft for the second floor and 24,216 sq ft for the fifth and sixth floors combined. The firm allegedly collected Rs 6.76 lakh in excess rent for the inflated space.

The fraud came to light when the Sub-Registrar of Visakhapatnam rejected the lease registration due to lack of ownership documents. The complainant reported financial losses exceeding Rs 44 crore, including operational and export-import losses from 2019 to 2022.

The Dwarka police registered a case against the MD under IPC sections 403, 405, 417, 420 and 156(3) CrPC on February 20, 2025. The MD has since approached the AP High Court seeking to quash the FIR and proceedings. The court will hear the matter on April 21, 2025.