His followers were attacked in several states as anger spread.
Nithyananda Paramahamsa, who preaches the virtues of yoga, mediation and enlightenment and has a number of "Life Bliss" centres in the United States, was filmed frolicking with a Tamil actres
The guru's public exposure follows the revelation earlier this week that a Delhi-based Hindu "god-man" had been running a multi-million pound vice empire. Rajeev Ranjan Dwivedi has been accused of running an internet-based "flesh trade", police said.
The two cases have highlighted widespread abuse by Hindu holy men in India, where wanted criminals often pose as priests or take holy vows to avoid capture.
It has been alleged that temples have been used as covers for sex rackets and money laundering schemes.
Dwivedi was first arrested for running a massage parlour in 1997. He is believed to have been running a network of call girls throughout northern India.
The revelation of a second popular guru involved in a sex scandal let to protests in Tamil Nadu and Karnataka, where student groups and Hindu fundamentalist groups attacked Swami Nithyananda Paramahamsa's followers.
In the footage, Paramahamsa appears reclining on a bed as the actress rubbed her hands over his body. His followers have said the footage is fake and that he is the victim of a plot.
Government officials, however, said they were investigating a series of land transactions by the guru whose wholesome smile and youthful looks have become features of a lucrative brand.
Pavan K Varma, an Indian cultural commentator, said the country's vast demand for spiritual peace is often exploited by "godmen" who "are less than spiritual".
"Everybody is looking for spiritual anchorage and anyone purporting to offer that peace of mind acquires a following but often behind the walls of the ashram they find the swamis have feet of clay and it leads to outrage," he said.
15 CASES FILED BY NITHY'S CULT TO HARASS THE WHISTLE BLOWER DHARMA (LENIN)
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3 cases filed in the US against Accused 1 Nithyananda (Mr. Rajasekar), Nithyananda Foundation,