Veeramani targeted poor kids through charitable foundation, lured with cash, smartphones: Police

A quiet bungalow in Chennai’s upscale Alwarpet, marked only by a plaque reading ‘VISHNU 266’, has emerged as the centre of an alleged child sex racket in which 84-year-old granite baron R Veeramani allegedly lured and assaulted minor girls under the guise of a charitable foundation for underprivileged students.

The case was registered in October 2025 after an anonymous man submitted a pen drive containing an explicit video of an elderly man allegedly assaulting a minor girl to an NGO. It gained traction after a special court rejected the police’s move to close the case in February and ordered a fresh investigation. On August 29, the anti-vice squad of the Central Crime Branch arrested Veeramani and two associates — Mahendra Simhan and his wife, Shanthi — accused of handling the racket’s logistics and suppressing evidence.

Earlier this month, police said they have traced the girl in the original video and recorded statements from seven survivors. Police said they have formed an all-woman SIT, arrested a former employee for allegedly withholding evidence, and raided five premises linked to Veeramani. Police have also issued a look-out circular for Prakash, son of a Southern Railway Mazdoor Union office-bearer. The probe has been widened to examine the role of senior police officers who handled the case earlier.

The case recently triggered a political slugfest, with the TVK government accusing the DMK, allegedly in collusion with the AIADMK, of shielding Veeramani during its tenure. Chief minister Joseph Vijay alleged that the previous government “buried” the POCSO case against the jailed businessman.

The case

Investigators said Veeramani, chairman of the Gem Group of Companies, had leased the Alwarpet property and appointed Mahendra and Shanthi as caretakers. Mahendra was also managing director of Gemsoft Technology Solutions, a Gem Group company.

“Shanthi targeted minors from poor and vulnerable communities, promising money and a better future. The girls were allegedly taken to Veeramani, who offered them cash, smartphones and sports shoes,” said a police officer, on condition of anonymity.

Veeramani allegedly gave amounts ranging from ₹5,000 to ₹50,000. In a video leaked on social media on September 24, Veeramani is allegedly seen giving a chocolate to a minor before assaulting her, the officer added.

The Alwarpet house, where Veeramani carried out his crimes, was silent when HT visited last week. A neighbourhood security guard said there are only about six houses on the street and local guards could track vehicles entering and leaving, but could not see the occupants. The video submitted to police in October 2025 was reportedly recorded in 2019, according to the closure report accessed by HT. Police have not disclosed the period over which the alleged assaults took place.

“But that changed after Shanthi started extorting money from Veeramani in return for suppressing the videos of the assaults. However, after an attempt to extract more money from Veeramani failed, Shanthi ensured the footage reached police through a social activist,” the officer added.

An unidentified man had visited the ICWO office in Vallalar Colony, Anna Nagar, on October 6, 2025, and left the pen drive and an envelope. With no CCTV cameras nearby, police said they could not identify him.

S Praveena Solomon, 42, state coordinator of the Indian Community Welfare Organisation, and the NGO’s founder-secretary, A J Hariharan, submitted the pen drive to the Central Crime Branch’s anti-vice squad.

Police initially identified Veeramani as the man in the video and registered an FIR under the Protection of Children from Sexual Offences (POCSO) Act. The investigation later slowed, and police sought to close the case in February, citing a lack of evidence. The special court rejected the closure report and ordered further investigation.

The closure report said investigators could not trace the girl in the video, while a cyber expert found no usable basic recording on the DVR because several years had elapsed.

“Furthermore, an inquiry into the CCTNS (The Crime and Criminal Tracking Network and Systems) portal to check whether the suspects mentioned in the complaint were involved in any prior cases revealed that they were not, and since the age-related information of the young girl-like person in the recording could not be determined, there are currently no grounds to proceed further with the investigation of this case,” the report said.

The report proposed “further action dropped”, while noting that the case could be reopened if new evidence or witnesses emerged. The special court, however, did not accept the final report and ordered further investigation, directing police to complete it or file a progress report within four weeks.

However, on August 29, the police said they had established the identity of the elderly man in the video as Veeramani and arrested him and his two associates.

Fresh probe

Investigators say the original video led them to suspect that more minors may have been targeted; at least six additional girls were allegedly assaulted, according to a police officer.

The SIT is also examining an SMS allegedly sent by Shanthi to Veeramani in 2003, referring to a girl whom he allegedly assaulted and who later died by suicide. Police are examining whether this points to more victims.

Police allege that Veeramani’s foundation for underprivileged students was used to identify potential targets. Shanthi has claimed that Veeramani assaulted her when she was 13, a police officer said.

Police are examining two property sales by Veeramani on Chennai’s East Coast Road, both executed on February 3, 2026 — around the time the police initially moved to close the case. A 2.15-acre property in Vettuvankeni was sold for ₹36.52 crore, while a 1.44-acre Neelankarai property fetched ₹43.72 crore.

Investigators are examining whether the sales are linked to the case and whether any proceeds were used as bribes.