OTT Scam Exposed: The Telugu film industry, which was recently celebrating a streak of blockbuster hits, has now been hit by a major controversy. A shocking revelation has surfaced: a well-known producer has allegedly cheated a top Mumbai-based OTT company of several crores. The scam has now become the most talked-about topic in Tollywood circles.

According to reports, the producer, who had earlier faced minor losses making films with mid-range heroes, found some relief with his recent Diwali release. He even claimed that those films are hits, but soon he faced backlash and controversy for those claims. Later, he apologized for this issue, but right now,w there are fresh allegations against him which kept him back in the spotlight. This time, it’s not about the movie’s success; this was a huge financial scam on one of the major OTT platforms.

Inside the OTT Scam:
According to the sources, this OTT platform is a Mumbai-based company. This company has realized during its internal audit that there was fraud. It was found that one of its employees, in collusion with a Telugu film producer, had manipulated OTT deal prices and channelized huge sums. Instead of following the regular evaluation process, which is based on star value or content quality, both of them allegedly approved inflated deals and shared the profits.

According to the sources, the scam took place between 2022 and 2024. With the money that was scammed, it is said that the OTT employee has bought a 3-acre land in Kokapet and luxury villas, while the Telugu producer allegedly purchased a BMW car worth ₹1.5 crore. The employee has since moved to a company owned by a top Telugu hero, raising even more eyebrows within the industry.

Industry Reaction and Fallout:
Following the discovery, the OTT company has reportedly started re-auditing all other film deals to ensure no similar fraud occurs. Legal action is also being considered if the scammed amount is not recovered.

Also Read: Ravi Teja’s Market Fading After Mass Jathara Flop?

Affect on Telugu Industry:
The entertainment industry has been affected by this issue. Fearing a lack of transparency, many Bollywood producers are now reluctant to invest in Telugu films. Concerned about possible scams, producers from other regional industries are also reconsidering OTT partnerships with Telugu movies.

The Telugu cinema industry’s reputation has suffered greatly as a result of this dispute. According to industry sources, a number of production companies are currently having trouble obtaining OTT contracts and outside funding due to a significant decline in partner and financier confidence.

What’s Next?
As the investigation continues, it remains unclear who are directly involved in the scam. However, the names of two Telugu producers are doing the rounds in industry discussions. For now, Tollywood is in damage-control mode, hoping to restore its credibility before more investors pull out.

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