Scamster poses as Amit Shah’s nephew: Delhi courts repeatedly deny bail in ₹3.9 crore fraud case

A dramatic impersonation scandal has unfolded in Delhi courts, where Ajay Kumar Nayyar, accused of posing as Union Home Minister Amit Shah’s nephew to swindle a businessman, has repeatedly been denied bail. The alleged fraud, involving promises of a lucrative government tender, centres on claims that Nayyar introduced himself as “Ajay Shah” and cheated a leather businessman of nearly ₹3.9 crore.

Most recently, on September 1, 2025, the Delhi High Court also dismissed his bail plea. Justice Girish Kathpalia ruled that the matter was not fit for grant of bail given the “serious nature and breadth of allegations” and the pending addition of more severe charges. The court underlined that the maximum punishment for some of the offences invoked was life imprisonment. The High Court also took note of Nayyar’s criminal antecedents, which further persuaded the bench against granting him relief.

According to the prosecution, Nayyar claimed in 2021 that he had close ties with the political establishment by virtue of being Amit Shah’s nephew. He allegedly lured a businessman into believing that he could secure a government contract worth ₹90 crore for supplying leather for the renovation of the President’s Estate at Rashtrapati Bhavan. The inducement was strengthened by the accused showing a demand draft of ₹90 crore. On this assurance, the businessman advanced payments of ₹3.9 crore through cash and RTGS transfers, believing they were processing charges linked to the tender.

The case papers reveal that Nayyar later escalated the promise, claiming that the tender value had risen to ₹127 crore, and sought further sums. The businessman, sensing fraud, approached the police. The Crime Branch arrested Nayyar in December 2021, and he has been in judicial custody since.

The charges against him are grave. The police invoked provisions of the Indian Penal Code including Section 420 for cheating, Section 120B for criminal conspiracy, and further sought to add Sections 467 and 471 dealing with forgery and use of forged documents, both of which are punishable with life imprisonment.

Despite being in custody for more than three years, Nayyar’s bail applications have consistently been rejected by courts. A trial court at Patiala House dismissed his plea in April 2025, holding that the nature of allegations, the magnitude of the fraud and the possibility of influencing witnesses outweighed his plea for liberty. The court noted that he had already been in custody for over 39 months, but stressed that the seriousness of the charges and his past conduct indicated a risk of misuse of liberty if released.

The prosecution’s case is that the accused built an elaborate facade of power and access, projecting himself as the Home Minister’s close kin, and used this deception to induce a businessman into parting with large sums of money.

The defense has argued that the investigation is complete, a charge sheet has been filed, and no further custodial interrogation is required. Counsel for Nayyar urged that prolonged incarceration without trial offends the right to personal liberty. However, the courts have been clear that where allegations involve systemic fraud with high stakes, release on bail cannot be automatic.

The high court emphasized that the seriousness of allegations and the potential impact on society form part of the considerations under Section 437 and Section 439 of the Code of Criminal Procedure.

For now, Ajay Kumar Nayyar remains behind bars, awaiting trial in one of Delhi’s most curious fraud cases.

Case Title: Ajay Kumar Nayyar vs State (NCT of Delhi)

Order Date: September 1, 2025

Bench: Justice Girish Kathpalia