Exclusive: A luxury car scam across states: Benz, fake docs, and a Bengaluru climax

What started as a luxury car purchase in Bengaluru in 2017 spiraled into a five-state scam that exposed deep loopholes in India’s vehicle registration system. A Mercedes-Benz G63 AMG (EURO-4 model) bought by one Nihad Ahmad from Sundaram Motors in Bengaluru became the centerpiece of a high-level fraud involving fake documents, unpaid loans, and interstate resale.

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Ahmad, a native of Hyderabad’s Miyapur area, bought the SUV on loan from HDFC Bank. Without registering the vehicle, he sold it in 2020 to a car dealer in Delhi. This dealer allegedly created fake documents and fraudulently registered the EURO-4 car in Himachal Pradesh as a EURO-6 model under a person named Tiago. When HDFC Bank realized the loan wasn’t repaid and the vehicle was untraceable, they launched a complaint in 2021. Himachal Pradesh RTO uncovered the fake registration, leading to the vehicle’s RC cancellation.

The scam didn’t end there. To dodge the blacklisting, the Delhi dealer changed the number plate from HP to PB and ran the car under a false registration. In 2023, Delhi Police Crime Branch seized the vehicle amid a broader crackdown on car dealers using forged papers to sell seized vehicles. The court awarded ownership to HDFC Bank, which auctioned it.

The car was then purchased by Bengaluru-based Neeraj Sharma, who again tried to illegally register it—this time in Udupi RTO—using forged documents. He underreported the car’s value as a Mercedes GLA to avoid ₹40 lakh in taxes.

Eventually, Bengaluru RTO flagged the car on the e-Vahan portal. Sharma, in a desperate move, exchanged the Benz for a Lamborghini and lakhs in cash from a Mysuru-based buyer.

Bengaluru RTO officials have since seized the vehicle. An investigation is ongoing.