Ads, Fake Posters, Charity, and Money Laundering Allegations
Mahesh Babu, one of Telugu cinema’s biggest superstars, has long been celebrated for his blockbuster films like Pokiri, Srimanthudu, and Sarkaru Vaari Paata. However, in 2021 and 2022, the Hyderabad-based actor found himself at the center of a storm due to his endorsement of Pan Bahar, a brand associated with pan masala and tobacco products. The controversy escalated with allegations of fake posters, charity moves perceived as publicity stunts, and speculative links to money laundering in the pan masala industry. This article explores these issues, their impact on Mahesh Babu’s reputation, and the broader implications for celebrities in Telangana and beyond.
The Pan Masala Ad Controversy
In 2021, Mahesh Babu appeared in a Pan Bahar advertisement alongside Bollywood actor Tiger Shroff, promoting the brand’s elaichi (cardamom) product. The ad, part of the “Kamyabi Ki Pehchan” campaign, portrayed the actors as symbols of success, casually tossing a tin of elaichi while engaging in high-energy activities. The commercial went viral, amassing over 7 million YouTube views, but it also sparked significant backlash.
Pan masala, often linked to gutka and tobacco, is a controversial product in India due to its health risks, including oral cancer. Despite claims by companies like Pan Bahar that their products are tobacco-free, public perception associates these brands with harmful substances. Mahesh Babu’s decision to endorse Pan Bahar drew ire from fans and netizens, especially given his stature as a role model with millions of followers across Telangana and Andhra Pradesh. Social media platforms, particularly Twitter (now X), erupted with criticism, with users calling out the actor for promoting a product deemed harmful. One X post stated, “Mahesh Babu did Pan ads, which was disgraceful,” reflecting the sentiment of disappointment among fans.
The controversy intensified in May 2022 when Mahesh Babu’s comment, “Bollywood can’t afford me,” made headlines. Netizens quickly dug up the Pan Bahar ad, trolling the actor with remarks like, “Bollywood can’t afford Mahesh Babu, but pan masala can.” This juxtaposition highlighted perceived hypocrisy, as the actor’s claim of exclusivity clashed with his endorsement of a mass-market product associated with health concerns. The trolling was relentless, with Reddit and Twitter users mocking the ad’s imagery and questioning Mahesh Babu’s judgment.
Allegations of Fake Posters
Another layer of the controversy involved allegations of fake posters and promotional materials. In India, pan masala brands are known for continuing to use celebrity images in advertisements, hoardings, and posters even after contracts are terminated. This practice was highlighted in the case of Amitabh Bachchan, who terminated his contract with Kamla Pasand in 2021 but saw his ads continue to appear.
For Mahesh Babu, similar concerns arose. Reports suggested that Pan Bahar’s posters featuring him and Tiger Shroff remained visible in markets across Hyderabad and other cities, even after the campaign faced backlash. While there is no direct evidence that Mahesh Babu or his team authorized these “fake” or unauthorized posters, their persistence fueled speculation. Netizens accused the brand of exploiting the actor’s image to maintain visibility, a common tactic in the pan masala industry to circumvent advertising bans.
In Hyderabad, where Mahesh Babu is a household name, such posters were particularly noticeable at bus stops, local shops, and street corners. Fans expressed frustration, with some arguing that the actor should take legal action to stop unauthorized use of his image. However, no public statement from Mahesh Babu or his team addressed these allegations, leaving room for speculation and criticism.
Charity for Publicity: A PR Move?
In the wake of the pan masala controversy, some celebrities have attempted to mitigate damage by engaging in charitable acts. For instance, Akshay Kumar, who faced similar backlash for endorsing Vimal Elaichi, announced he would donate his endorsement fee to a social cause, a move described as a “public relations masterstroke.” Mahesh Babu, however, did not publicly announce any such charitable gesture following the Pan Bahar controversy.
This absence led to speculation that any future charity moves by the actor could be perceived as publicity stunts to salvage his image. In Hyderabad’s media circles, where celebrity PR strategies are closely scrutinized, such tactics are not uncommon. For example, a high-profile donation to a Telangana-based NGO or a health awareness campaign could be seen as an attempt to counter the negative publicity from the pan masala ad. While no evidence confirms Mahesh Babu engaging in charity solely for PR, the lack of a proactive response left fans and critics questioning his commitment to social responsibility.
Money Laundering Allegations in the Pan Masala Industry
The pan masala industry in India, valued at over ₹40,000 crore, has long been under scrutiny for alleged financial irregularities, including money laundering. Reports have highlighted how some companies use surrogate advertising, elite sponsorships (e.g., IPL), and celebrity endorsements to maintain visibility despite bans on tobacco and gutka ads. In a 2025 case, a Gorakhpur-based pan masala owner was duped of ₹2.7 crore in a cyber fraud, underscoring the industry’s vulnerability to financial scams.
More broadly, allegations of money laundering have surfaced in connection with fake agreements and bogus advertisements. A 2025 Times of India report noted that fake rent agreements and advertisements were used for money laundering in the National Herald case, raising questions about similar practices in other industries, including pan masala. While no direct evidence links Mahesh Babu to money laundering, his association with Pan Bahar placed him in a controversial industry often accused of such activities.
In Telangana, where financial transparency is a growing concern, these allegations resonate strongly. Hyderabad’s business community and media have called for stricter regulations on pan masala companies, urging celebrities to vet brands thoroughly before endorsing them. An X post emphasized this, stating, “Stars [should] do a thorough check before endorsing any brand as it’s not just their reputation, but the people who trust and consume the products will be at a bigger loss.”
Mahesh Babu’s Response and Public Perception
Unlike Amitabh Bachchan and Akshay Kumar, who publicly addressed their pan masala endorsements, Mahesh Babu remained largely silent on the issue. His team issued a statement clarifying his “Bollywood can’t afford me” comment, asserting it was taken out of context and that he respects all film industries. However, no similar clarification addressed the Pan Bahar controversy, leaving fans and critics to speculate.
In Hyderabad, Mahesh Babu’s fanbase remains fiercely loyal, with many defending his decision to endorse Pan Bahar as a professional choice. Others, however, expressed disappointment, particularly younger fans who view him as a role model. The controversy highlighted a broader tension in Telugu cinema, where stars like Allu Arjun have rejected tobacco-related endorsements, earning praise for prioritizing public health.
Broader Implications for Telugu Cinema
The Mahesh Babu pan masala controversy underscores the challenges faced by celebrities in navigating endorsement deals. In Telangana, where Telugu cinema holds immense cultural sway, actors wield significant influence over public behavior. The backlash against Mahesh Babu reflects growing awareness of the health risks associated with pan masala and a demand for accountability from public figures.
Moreover, the allegations of fake posters and money laundering in the pan masala industry highlight the need for stricter regulations. Hyderabad-based activists and health organizations have called for banning surrogate advertising, arguing that celebrities should not promote products linked to harmful substances. The controversy also raises questions about the ethical responsibilities of actors in choosing endorsements, particularly in a digital age where social media amplifies criticism.
Tips for Fans and Aspiring Actors
For fans in Telangana and beyond, the Mahesh Babu controversy offers lessons on critical consumption:
- Question Celebrity Endorsements: Research the products celebrities promote, especially those with health risks like pan masala.
- Support Ethical Choices: Celebrate actors like Allu Arjun who reject harmful endorsements, encouraging others to follow suit.
- Engage Constructively: Use platforms like X to voice concerns about celebrity actions, but avoid toxic trolling.
For aspiring actors in Hyderabad’s film industry, the controversy highlights the importance of due diligence:
- Vet Brands Thoroughly: Investigate a brand’s reputation and products before signing endorsement deals.
- Prioritize Long-Term Reputation: Short-term financial gains from controversial endorsements can damage a career.
- Engage with Fans: Address controversies transparently to maintain trust and credibility.
Conclusion
Mahesh Babu’s involvement in the Pan Bahar advertisement, coupled with allegations of fake posters, charity for publicity, and speculative links to money laundering, has cast a shadow over his otherwise illustrious career. While the actor’s silence on the issue has fueled criticism, his enduring popularity in Telangana suggests that fans may forgive but not forget. The controversy serves as a reminder of the power and responsibility wielded by celebrities in shaping public perceptions and behaviors.
As Hyderabad continues to be a hub for Telugu cinema, the Mahesh Babu pan masala saga underscores the need for greater accountability in celebrity endorsements. Whether through stricter regulations, public awareness, or ethical choices by stars, addressing these issues can ensure that the industry remains a positive influence on society.
Disclaimer: Allegations of fake posters and money laundering are based on public discourse and industry reports, with no conclusive evidence directly implicating Mahesh Babu. Readers are encouraged to verify information independently.












