ED Raids in Hyderabad Uncover ₹Crores Illegal Surrogacy Racket, Hundreds of Couples Cheated

The Enforcement Directorate (ED) has unearthed a massive illegal surrogacy racket operating across southern India, allegedly masterminded by Dr. Pachipalli Namrata, also known as Athaluri Namrata, through her clinic, Universal Srishti Fertility and Research Center.

On Friday, ED teams conducted coordinated raids at nine locations in Hyderabad, Vijayawada, and Visakhapatnam, seizing crucial documents and property records that exposed the scale of the fraud. According to investigators, Namrata not only deceived hundreds of couples from India and abroad but also invested illicit earnings into acquiring multiple properties.

How the Racket Operated

The probe revealed that Dr. Namrata exploited couples longing for children by offering them surrogacy services. She assured them that embryos would be created from their own eggs and sperm, then implanted into a surrogate mother. Couples were charged around ₹30 lakh for the procedure—half via cheque and the rest in cash.

They were promised that after childbirth, a DNA test would confirm the baby’s biological link. However, in numerous cases, DNA results proved otherwise, exposing that the children handed over were not biologically related to the couples.

Exploitation of Poor Women

Investigators found that the operation relied heavily on agents, who acted as middlemen and recruited poor and vulnerable women. These women were offered money to hand over their newborns, often under misleading circumstances. While agents received commissions, the bulk of the profits went to Namrata.

“Helpless women were exploited, their children taken away and sold under the guise of surrogacy,” an ED official said, describing the operation as both a financial fraud and a human trafficking network.

Foreign Nationals Among Victims

Shockingly, the racket also targeted foreign couples. In one case, a child handed over to an overseas couple was denied a passport after a DNA test revealed that the baby was not biologically theirs. Many victims, both Indian and foreign, refrained from reporting the fraud due to stigma and emotional distress, allowing the perpetrators to continue their scheme unchecked.

10 Years of Deception

The ED disclosed that the illegal operation had been running for over a decade across multiple cities. Forged documents were routinely prepared to create a façade of legality, making it appear as if intended parents and surrogate mothers were present for the procedures. This meticulous cover-up allowed the racket to remain under the radar for years.

Scale of the Fraud

Preliminary findings suggest that hundreds of couples across India and abroad have been defrauded, with the total scam running into crores of rupees. Many of the properties purchased by Dr. Namrata with the proceeds are now under ED scrutiny and could be attached as part of the money laundering probe.

Wider Implications

The case has highlighted glaring loopholes in India’s surrogacy regulations, particularly around private fertility clinics. Activists have raised concerns that the racket not only defrauded couples but also commodified motherhood and exploited poverty-stricken women, turning children into tradeable assets.

Officials said further investigations are underway to identify the full network of agents, doctors, and financial operators involved. The ED is expected to file charges under the Prevention of Money Laundering Act (PMLA) and other applicable laws in the coming weeks.