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Newport Beach Financier Arrested in Alleged $100 Million Bank Fraud

Prosecutors say the arrest opens a criminal probe of forged title records and coercive tactics that could hinder efforts to recover funds tied to a recent $1.34 billion arbitration award.

Overview

  • Federal agents arrested Mahender Makhijani at his Corona del Mar home on Wednesday in a criminal complaint that accuses him of defrauding a bank of nearly $100 million.
  • The complaint alleges Makhijani controlled Cantor Group V LLC and between September 2024 and April 2025 falsified title insurance policies to make loans appear to hold first‑lien priority.
  • Prosecutors say Makhijani and a subordinate doctored documents using Adobe, altered or removed metadata, and printed and rescanned files while providing misleading spreadsheets and explanations to the lender.
  • Court filings and witness statements describe a pattern of threats, blackmail and the use of armed associates to intimidate employees and rivals, allegations that feed both the criminal case and related civil disputes.
  • An arbitrator awarded about $1.34 billion to rival Mohammad Honarkar in May and prosecutors say the allegedly misappropriated funds and assets have not been fully traced so asset recovery and further prosecution are ongoing.