ED arrests ghee supplier in TTD adulteration case

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The Enforcement Directorate (ED) arrested Kailash Chand Mangla, promoter of Sukriti Foods Pvt. Ltd., in connection with its money laundering investigation into the alleged supply of adulterated ghee to the Tirumala Tirupati Devasthanams (TTD), with the agency alleging that around ₹96 crore worth such ghee was manufactured by his company.

Mangla was arrested on Friday (September 17) under Section 19 of the Prevention of Money Laundering Act (PMLA). He was produced before the Special Court (PMLA) in Visakhapatnam, which remanded him to judicial custody.

The ED investigation stems from an FIR registered at Tirupati East Police Station alleging criminal conspiracy, cheating, forgery and corruption in the fraudulent supply of adulterated ghee to TTD.

According to the ED, adulterated ghee was allegedly manufactured using refined palm oil, palm kernel oil, palmolein and chemicals including MG-90, monoglycerides, Myvacet Soft 400 and acetic acid ester. Later, it was allegedly supplied as Agmark Special Grade Cow Ghee to TTD.

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

Mangla, promoter of Sukriti Foods Pvt. Ltd., facilitated the procurement of adulterants and manufactured adulterated ghee at his factory premises. The ED alleged that he also coordinated its supply through front entities, including Sh. Vaishnavi Dairy Specialities Pvt. Ltd., Malganga Milk & Agro Products Pvt. Ltd. and A.R. Dairy Foods Pvt. Ltd.

Investigators further alleged that Mangla created and maintained false records relating to the purchase and sale of ghee and refined palm oil to conceal the actual use of adulterants and give 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., who is also alleged to have orchestrated the manufacture and supply of adulterated ghee to TTD. Further investigation is underway.

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