ED arrests Sukriti foods promoter in Tirupati adulterated ghee case

The ED had earlier arrested Vipin Jain, promoter and director of Bhole Baba Organic Dairy Milk Pvt. Ltd., as part of its investigation.

The Directorate of Enforcement (ED), Hyderabad Zonal Office, has arrested Kailash Chand Mangla in connection with the alleged adulteration and fraudulent supply of ghee to the Tirumala Tirupati Devasthanams (TTD).

Mangla, promoter of Sukriti Foods Pvt. Ltd., was arrested on Thursday under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002.

He was produced before the Special Court (PMLA) in Visakhapatnam, Andhra Pradesh, which remanded him to judicial custody, the central agency said in a release on Friday.

ED probe into alleged adulterated ghee supply

The ED launched its investigation based on an FIR registered at Tirupati East Police Station. The FIR alleges criminal conspiracy, cheating, forgery and corruption in connection with the fraudulent supply of adulterated ghee to TTD.

According to investigators, the adulterated ghee was allegedly manufactured using refined palm oil, palm kernel oil, palmolein and various chemicals, including MG-90, monoglycerides, Myvacet Soft 400 and acetic acid ester.

The product was subsequently supplied as ‘Agmark Special Grade Cow Ghee’ for use by TTD.

The alleged fraudulent supply of ghee to TTD between 2019 and 2024 was valued at around Rs 230 crore. Of this, approximately Rs 96 crore worth of adulterated ghee was allegedly manufactured by Mangla.

Mangla’s alleged role

The ED said Mangla was one of the co-conspirators in the case and allegedly facilitated the procurement of adulterants and the manufacture of adulterated ghee at his factory premises.

He also allegedly coordinated the supply of the adulterated ghee through various front entities, including Sri Vyshnavi Dairy Specialities Pvt. Ltd., Malganga Milk & Agro Products Pvt. Ltd. and A.R. Dairy Foods Pvt. Ltd.

The investigation further found that Mangla allegedly created and maintained false records relating to the sale and purchase of ghee and refined palm oil.

According to the ED, the records were used to conceal the actual use of adulterants and create the appearance of legitimate production and supply of genuine cow ghee.

The ED had earlier arrested Vipin Jain, promoter and director of Bhole Baba Organic Dairy Milk Pvt. Ltd., as part of its investigation.

Jain is alleged to have orchestrated the manufacture and fraudulent supply of adulterated ghee to TTD. Meanwhile the investigation remains in progress.

(with IANS inputs)

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