Federal authorities have arrested Indian-origin businessman Mahender Makhijani, accusing him of defrauding a bank of nearly $100 million through a scheme that included forged real estate documents and misleading financial records.The 44-year-old man is a lawful permanent resident of India who lives in Corona del Mar, California. He was taken into custody on Wednesday and charged with bank fraud. If found guilty, the New Yorker reports, he faces up to 30 years in prison.According to court documents, Makhijani ran Newport Beach-based Cantor Group V LLC, which had an agreement with a bank to use only the highest priority real estate loans as collateral. Between September 2024 and April 2025, they altered title insurance documents to make it appear as if the company had first claim on some properties, even though other lenders actually had priority rights on them.Makhijani and a subordinate altered documents using Adobe software, changed metadata and submitted forged records to the bank. Additionally, misleading explanations were provided during the call and through spreadsheets sent to the lender.Federal agents arrested Makhijani at his home in the coastal community of Corona del Mar in Newport Beach. Investigators have not yet recovered the missing money.The complaint paints a picture of a businessman who had substantial wealth and control over a network of companies. Makhijani traveled by private jet, owned neighboring mansions and maintained a collection of luxury vehicles including a Bentley, Porsche and a Mercedes G-Wagon.It is still difficult to trace their financial resources.“Makhijani has significant financial resources, but the government has not fully located and accounted for those resources, which are almost certainly not in Makhijani’s name,” the complaint states.Cantor Group was only one of several entities under the control of V Makhijani. The complaint alleges that he personally manipulated title records on a laptop by editing metadata or printing, altering and re-scanning the documents before turning them over to lenders.
Mahendra threatened to ‘kill’ the employees
The court filing also alleges misconduct by Makhijani. He intimidated colleagues, boasted about fleeing to India if caught by authorities, and used intimidation to maintain control over subordinates. Witnesses told investigators that he threatened to “kill” the employees and send their “family on the street” and “their kids on welfare.”He hosted parties involving drugs and sex workers and later used what attendees at those parties did against him.The complaint links Makhijani to several business controversies. He instructed associates to counter rivals, target their businesses and put pressure on opponents. One controversy centered on the management of Hotel Laguna in 2023, where security personnel linked to Makhijani clashed with workers at the property.Separately, an arbitrator awarded Laguna Beach businessman Mohammed Honarkar about $1.34 billion in May in a civil dispute involving dozens of properties. The judgment found that Makhijani breached agreements and defrauded Honarkar.“Criminals love it, they have multiple companies, multiple locations,” Honarkar told The Pilot. “They hide, and (Makhijani) don’t give you any papers.”Makhijani is expected to make his initial appearance in federal court in Santa Ana.Announcing the arrest, First Assistant U.S. Attorney Bill Essaly said: