Hyderabad, Sep 18 (IANS) The Directorate of Enforcement (ED), Hyderabad Zonal Office, has arrested Kailash Chand Mangla in connection with the Tirumala Tirupati Devasthanams (TTD) ghee adulteration case.
Kailash Chand 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), Visakhapatnam, Andhra Pradesh, which remanded him to judicial custody, the central agency said in a release on Friday.
The ED initiated the investigation based on an FIR registered at Tirupati East Police Station, alleging criminal conspiracy, cheating, forgery, and corruption related to the fraudulent supply of adulterated ghee to TTD.
Investigators revealed that 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. This was subsequently supplied as Agmark Special Grade Cow Ghee for use by TTD.
The alleged fraudulent ghee supplies to TTD during 2019–2024 were valued at about Rs 230 crore. Out of this, approximately Rs 96 crore worth of adulterated ghee was manufactured by Kailash Chand Mangla.
The ED said Mangla was one of the co-conspirators in the case and facilitated the procurement of adulterants and the manufacture of adulterated ghee at his factory premises.
He also coordinated the supply of 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 revealed that Mangla created and maintained false records relating to the sale and purchase of ghee and refined palm oil to conceal the actual utilisation of adulterants and create the appearance of legitimate production and supply of genuine cow ghee.
Earlier, the ED had arrested Vipin Jain, promoter and director of Bhole Baba Organic Dairy Milk Pvt. Ltd., who is alleged to have orchestrated the manufacture and fraudulent supply of adulterated ghee to TTD, as part of the ongoing investigation.
Further investigation is in progress.
–IANS
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