GUNTUR: Local businessman Gunda Nageswara Rao died of a heart attack on Tuesday, prompting concerns about a possible investment scam linked to an animation and gaming company in Vijayawada. Though initial speculation suggested suicide, police confirmed the cause of death was natural and no case has been registered.
Rao had reportedly suffered significant financial losses in recent years, primarily due to investments in the now-defunct company, which had promised unusually high returns. The firm abruptly ceased operations, and its promoter has since gone missing.
According to sources, Rao had also persuaded friends and acquaintances to invest in the same venture. The company’s collapse allegedly led to mounting pressure and financial distress for him and others involved. Several residents who invested in the firm are now expressing concern over the fate of their funds, although no formal complaints have been filed. Police said they are monitoring the situation and advised the public to exercise caution when approached with high-return investment offers.
The incident has brought renewed focus on the need to regulate informal and unverified investment schemes in the region.