Bengaluru, Sept. 23 -- Police have uncovered an alleged vehicle fraud racket in Bengaluru in which loan-default cars were acquired at low prices, forged documents were prepared to conceal the outstanding dues and the vehicles were subsequently sold to buyers at substantially higher rates.

Annapoorneshwarinagar police arrested Gurupasad in one of the cases after allegedly tracing a network that targeted vehicle owners who were unable to repay their loans. According to the police, Gurupasad would establish contact with such owners and assure them that he would settle the pending loan and find buyers for their vehicles.

The owners were allegedly given around Rs 1-2 lakh before handing over their vehicles. However, instead of clearing the o...