Mahender Makhijani accused of $100 million fraud; sex party, blackmail claims surface

Mahender Makhijani, an Indian-origin businessman and founder of Cantor V Group, has been arrested in California on federal charges for allegedly defrauding a bank of nearly $100 million. Prosecutors contend that Makhijani manipulated title insurance records, concealed true lien positions, and utilized a network of shell companies to mislead a federally insured bank. He faces a maximum sentence of 30 years in prison if convicted.

According to the affidavit, Makhijani controls Cantor Group V LLC, which had a lending relationship with the bank. Under their agreement, the bank advanced nearly $100 million to Cantor to originate or purchase loans secured by real estate. Cantor was supposed to pledge these loans and their collateral to the bank. Between September 2024 and April 2025, Makhijani allegedly falsified title insurance policies to indicate Cantor held the first lien position on certain collateral. He is also accused of lying to bank representatives about identified title issues during teleconferences.

Beyond the financial fraud allegations, court filings have introduced disturbing claims, including that Makhijani hosted sex parties and used information obtained from these events for blackmail. Prosecutors suggest he cultivated a climate of fear to control employees and associates. Makhijani's opulent lifestyle, including private jet travel and luxury assets, is under scrutiny. This federal case is separate from a prior arbitration matter where entities linked to Makhijani faced findings of fraudulent conduct, resulting in a damages award exceeding $1 billion.