Service apartment owners warned of property seizure over illegal activities
Police in Hyderabad are warning service apartment owners that their properties may be seized if they facilitate illegal activities like gambling or prostitution. Authorities are urging owners to conduct stricter tenant verification to avoid legal liability.
Why it matters
This highlights the regulatory challenges and security risks associated with the rapid growth of the short-term rental market in urban IT hubs.
Service apartments in Hyderabad’s IT corridor have come under increased police scrutiny after multiple properties were allegedly used for gambling and prostitution, with owners now being warned that their properties could be seized if they knowingly facilitate illegal activities.
Three cases, two involving gambling and one prostitution, have recently been registered in Madhapur, the police said.
Cyberabad Police Commissioner M. Ramesh Reddy said the warning was intended to make property owners more cautious about whom they rent their premises to. “We have powers to get the house seized. It is risky for the owners,” he said. “No owner will allow anything illegal. This is to warn them and make them aware of these rules.”
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