India’s entertainment industry has long been associated with glamour, wealth, and stardom, but behind the scenes, some celebrities have found themselves entangled in serious financial scandals. From tax evasion and fraud cases to offshore investments and legal troubles, these incidents have not only damaged reputations but also led to legal battles and financial penalties.
While some celebrities have managed to overcome these controversies, others have seen their careers permanently affected by these allegations. Here are 11 Indian celebrities who were caught in major financial scandals, making headlines for all the wrong reasons.
1. Shakti Kapoor – Caught in a Sting Operation
In 2005, a sting operation by India TV exposed veteran actor Shakti Kapoor allegedly soliciting favors in exchange for film roles, in what was described as a casting couch scandal. Though not a direct financial scandal, the exposure damaged his reputation, affecting his industry standing.
The Aftermath
- Bollywood distanced itself from Kapoor, and he was briefly banned by the Film and Television Producers Guild of India.
- He denied the allegations, claiming the video was doctored.
2. Sonu Sood – Tax Evasion Allegations
In 2021, the Income Tax Department raided multiple premises linked to actor Sonu Sood, accusing him of tax evasion related to funds received by his charity foundation. Officials claimed discrepancies in donations and expenditures.
The Aftermath
- Sood denied any wrongdoing and said all funds were used for social causes.
- Public support remained strong, as Sood had gained fame for helping migrants during COVID-19.
3. Taapsee Pannu – IT Raids and Financial Scrutiny
In 2021, actress Taapsee Pannu was targeted in an income tax raid over alleged financial irregularities linked to Phantom Films. Authorities investigated potential tax evasion by individuals linked to the company.
The Aftermath
- Pannu denied any wrongdoing, saying she was being targeted for her outspoken views.
- No major legal action followed after the raids.
4. Priyanka Chopra – Income Tax Raids
In 2011, the Income Tax Department raided Priyanka Chopra’s residence over suspected tax evasion, examining discrepancies between her declared income and lifestyle expenditures.
The Aftermath
- Chopra denied any tax violations, and no major charges were publicly filed.
- She went on to achieve global success, with no lasting impact from the controversy.
5. Shreyas Talpade – Fraud Allegations
In 2021, Bollywood actor Shreyas Talpade was named in a fraud case in Haryana, accused of endorsing an investment scheme that deceived investors with false promises.
The Aftermath
- Talpade denied involvement, stating he was only a brand ambassador for the company.
- The case remained unresolved, but it raised concerns about celebrities endorsing financial schemes.
6. Alok Nath – Legal and Financial Trouble
Veteran actor Alok Nath, alongside Talpade, was linked to a fraud case involving an investment scam in Haryana. Investors alleged they were duped into investing in a fraudulent scheme promoted by the celebrities.
The Aftermath
- Nath refuted the claims, stating he was not directly involved in financial transactions.
- The case added to previous controversies surrounding the actor.
7. Ankita Lokhande – Energy Drink Scam
In 2025, television actress Ankita Lokhande was among 25 TV celebrities defrauded in a ₹1.48 crore scam involving an Indore-based energy drink company that failed to honor its financial commitments after securing celebrity endorsements.
The Aftermath
- Lokhande and others filed complaints against the company.
- The scam exposed how brands misuse celebrity influence to deceive customers and investors.
8. Tejasswi Prakash – Financial Loss in Fraud Case
Bigg Boss winner Tejasswi Prakash was another victim of the 2025 energy drink scam, in which multiple celebrities were deceived into endorsing a brand that later failed to make payments.
The Aftermath
- Prakash, along with other actors, sought legal action.
- The incident highlighted the risks celebrities face in brand endorsements.
9. Aishwarya Rai Bachchan – Offshore Investments in Panama Papers Leak
In 2016, the Panama Papers leak revealed Aishwarya Rai Bachchan’s name among individuals with offshore accounts. Allegations of tax evasion and financial misconduct surfaced.
The Aftermath
- In 2021, she was questioned by the Enforcement Directorate (ED) about offshore financial transactions.
- She denied any wrongdoing, stating her accounts were legally compliant.
10. Radhika Sarathkumar – Cheque Bounce Case
In 2021, actress Radhika Sarathkumar and her husband were convicted in a cheque bounce case involving a ₹1.50 crore loan taken from Radiance Media Private Ltd.
The Aftermath
- The court sentenced them to one year in prison and imposed a ₹3.3 crore fine.
- The case tarnished the reputation of the veteran actress.
11. R. Sarathkumar – Legal Trouble Alongside Wife
Actor R. Sarathkumar was convicted alongside his wife Radhika Sarathkumar in the 2021 cheque bounce case, which involved financial disputes over unpaid debts.
The Aftermath
- The court found them guilty, leading to legal and financial penalties.
- The case damaged Sarathkumar’s political and entertainment career.
Final Thoughts
These financial scandals serve as cautionary tales, showing how even the biggest stars aren’t immune to legal and financial troubles. While some of these celebrities have managed to rebuild their reputations, others have faced long-term career damage due to their involvement in financial controversies.
As celebrities continue to expand their influence beyond films, engaging in endorsements, business ventures, and financial investments, they must remain vigilant to avoid fraudulent associations and legal entanglements.
