Federal authorities have arrested Indian-born businessman Mahender Makhijani, accusing him of defrauding a bank of nearly $100 million through a scheme involving falsified real estate documents and misleading financial records.The 44-year-old man is a legal permanent resident from India and lives in Corona del Mar, California. He was taken into custody on Wednesday and charged with bank fraud. If convicted, he faces up to 30 years in prison, according to the New York TimesAccording to court documents, Makhijani ran Newport Beach-based Cantor Group V LLC, which entered into an agreement with a bank to use only the most senior real estate loans as collateral. Between September 2024 and April 2025, he altered title insurance documents to make it appear that the company had priority claims on certain properties, even though other lenders actually had priority claims on the properties.Makhijani and a subordinate used Adobe software to alter documents, alter metadata and submit falsified records to the bank. Additionally, misleading explanations were provided during the call and via a spreadsheet sent to the lender.Federal agents arrested Mahijani at his home in the coastal community of Corona del Mar in Newport Beach. Investigators have not yet recovered the missing funds.The complaint paints a picture of a businessman who controlled vast wealth and a network of companies. Makhijani travels by private jet, owns neighboring mansions and owns a collection of luxury vehicles, including a Bentley, Porsche and Mercedes G-Wagon.His financial resources remain difficult to trace.“Makhijani possesses substantial financial resources, but the government has not fully tracked and accounted for these resources, which are almost certainly not held in Makhijani’s name,” the complaint states.Cantor Group V is just one of several entities controlled by Makhijani. The complaint alleges that he personally manipulated title records on his laptop by editing metadata or printing, altering and rescanning documents before submitting them to lenders.
Mahendar threatens to ‘kill’ staff
Court documents also contain allegations of inappropriate behavior by Makhijani. He threatened colleagues, boasted that he would flee to India if authorities caught him, and used intimidation tactics to maintain control over subordinates. Witnesses told investigators he threatened to “kill” employees, put their “families on the streets” and “put their children on welfare.”He hosted parties involving drugs and sex workers and later used the behavior of attendees at those parties as leverage against them.The complaint further linked Makhijani to a number of business disputes. He coaches employees against competitors, targeting his own business and pressuring rivals. One dispute centered on the management of the Laguna Hotel in 2023, when security guards associated with Makhijani clashed with the hotel’s staff.Separately, in May, an arbitrator awarded about $1.34 billion to Laguna Beach businessman Mohammad Honarkar in a civil dispute involving dozens of properties. The ruling found that Makhijani breached the agreement and deceived Honarkar.“Criminals like this, they have multiple companies, multiple locations,” Honaka told The Pilot. “They hide and [Makhijani] You won’t be given any paper. “Mahijani is expected to make his first appearance in federal court in Santa Ana.First Assistant U.S. Attorney Bill Essayli said in announcing the arrests:
