I'm in the UK and I have to say that Bilgemaster has hit the nail right on the head.
There are loads of these bikes, put together from old and new parts in India, and that does not mean that they are necessarily bad, but they are not Redditch bikes as some try to pass them off as. They are certainly not worth that kind of money.
Many criticise the Indian bikes, but I don't. I liked my 350 bullet I had before and I like the 500 Elecrta EFI I have now even more.
The EFI bikes are not as pretty as the iron barrelled bikes, but they are mechanically much better in all departments - engine, transmission, brakes, electrics etc..
If you prefer the iron barrel models, buy an 'honest' one that hasn't been tarted up, and they are not as unreliable as many like to make out, much depends on the owners attitude and knowledge.
As the man said - Midland Bullet Riders Forum is a good place to ask questions.
Frank