Lodha Developers Ex-Director Rajendra Lodha Arrested In Fraud Probe

Rajendra N. Lodha, a former director of prominent real estate firm Lodha Developers, was arrested by the Mumbai Crime Branch on Wednesday for his alleged involvement in an Rs 85 crore fraud case against the company. The 57-year-old accused was apprehended from his residence in Worli, central Mumbai, following a complaint filed by Lodha Developers detailing charges of cheating, misappropriation, and criminal breach of trust.

Police investigations revealed Lodha's unauthorized actions, including the sale of company properties, undervaluation of land deals, and illegal Transferable Development Rights (TDR) transactions, which exploited his role limited to land acquisition.

Lodha, who resigned from his directorial position on August 17, 2025, after the company's ethics committee reviewed his conduct, was produced before a local court, which remanded him in police custody until September 23. Authorities stated that Lodha, along with his son and several associates, orchestrated the scheme, defrauding the firm through these illicit activities.

The case surfaced during an internal probe, prompting the firm's cooperation with law enforcement. Lodha Developers, a leading player in India's real estate sector known for luxury projects in Mumbai, has maintained a zero-tolerance policy toward misconduct, regardless of an individual's seniority.

In a statement, Lodha Developers clarified that Rajendra Lodha is a distant relative (fourth-degree) of the company's Managing Director and CEO, Abhishek Lodha, and emphasized transparency in the matter. The firm reiterated its commitment to ethical practices amid the ongoing investigation, which has led to multiple arrests.

This incident occurs against a backdrop of internal challenges for the Lodha Group, including a separate family dispute earlier in 2025 where Abhishek Lodha accused his brother Abhinandan Lodha's firm of forgery and trademark infringement over the use of the "Lodha" brand in a Goa project.

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The arrest underscores vulnerabilities in corporate governance within the real estate industry, where land deals and development rights are high-stakes. Mumbai Police continue to probe the full extent of the fraud, with efforts underway to recover misappropriated funds and identify additional accomplices.

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