Nagpur: Fresh layers of alleged corporate deception and financial manipulation surfaced in a high-value land deal as an Additional Sessions Court in Nagpur rejected the pre-arrest bail pleas of three city-based businessmen accused of cheating and criminal breach of trust. Additional Sessions Judge–19 A. V. Dhuldhule refused relief to Atul Yamsanwar, Ankush Patil and Subhash Surana, directors of M/s Urban Township Private Limited, observing that the material on record pointed towards deliberate concealment, wrongful gain and dishonest intent.
The case, registered at Sitabuldi Police Station under Sections 406 and 420 read with Section 34 of the Indian Penal Code, stems from a complaint filed by construction businessman Sachin Pande, who had entered into a financial and managerial partnership with the accused.
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28 Jan 2026
According to the prosecution, Pande was allegedly lured into investing in Urban Township Pvt. Ltd. after the company incurred heavy losses following the purchase of land at Mouja Chikhli (Deo). The accused allegedly promised substantial returns, persuading Pande to acquire a 60 per cent stake in the company and take over liabilities amounting to Rs 7.5 crore. A board resolution was passed and 6,000 shares were issued to him under a formal shareholding agreement.
However, the complainant later unearthed what he described as systematic manipulation of company records. Only 30 per cent of his shareholding was reflected in statutory audit reports and filings with the Registrar of Companies, while the remaining shares were allegedly never uploaded by the company secretary. More alarmingly, additional directors were appointed without his knowledge or consent, despite him being the majority shareholder.
Public notices ignored, land sold quietly
As the dispute escalated, Pande issued public notices in newspapers in November 2021 and again in June 2022, warning the public against entering into transactions involving the company’s property. Despite these caution notices, the accused directors allegedly executed a sale deed on April 20, 2022, transferring the Chikhli land to Mahadev Infra Projects, without Pande’s signature or approval.
Investigators pointed out that the land was reserved for a primary school, raising serious legal questions over whether it could be sold at all. The transaction has come under sharper scrutiny after police noted that the property, with a Ready Reckoner value exceeding Rs 16 crore, was sold for just Rs 10.6 crore.
Undervaluation, cash siphoning alleged
The complainant has alleged that the valuation was deliberately depressed to facilitate large-scale cash siphoning and that he did not receive a single rupee from the sale proceeds. Further red flags emerged when it was revealed that the board resolution approving the sale was signed by individuals who were allegedly fraudulently appointed as directors, and who also happened to be partners in Mahadev Infra Projects, the buyer firm, pointing towards a serious conflict of interest and possible collusion.
During arguments, the defence attempted to portray the matter as a purely civil dispute, contending that offences under Sections 406 and 420 could not arise from the same transaction. The State, however, strongly opposed the plea, emphasising the alleged undervaluation of the sale deed and the likelihood of unaccounted cash transactions.
After examining the case record, the court observed that the property was sold without consulting the majority shareholder and in blatant disregard of public caution notices. The court also noted that selling the land significantly below market value prima facie indicated dishonest intention and wrongful gain.
In view of these findings, the court concluded that custodial interrogation may be necessary to probe the alleged financial irregularities and refused to grant pre-arrest bail to the accused.
