The Enforcement Directorate has arrested Kailash Chand Mangla, promoter of Sukriti Foods, over allegations of supplying adulterated ghee to the Tirumala Tirupati Devasthanams. The investigation centers on a ₹230 crore supply chain running between 2019 and 2024, involving the alleged use of industrial chemicals and palm oil. This action marks the second major arrest in the ongoing probe into the temple supply chain.
On September 17, the Enforcement Directorate (ED) arrested Kailash Chand Mangla, a promoter of Sukriti Foods, in connection with a money laundering case linked to the supply of ghee to the Tirumala Tirupati Devasthanams (TTD). The federal agency is investigating claims that the ghee provided for the TTD’s famous laddu prasadam was systematically adulterated.
The Alleged Adulteration Scheme
According to findings presented before a special Prevention of Money Laundering Act (PMLA) court in Visakhapatnam, the investigation suggests a large-scale substitution of pure cow ghee with other substances. The ED alleges that suppliers used a mix of refined palm oil, palmolein, and industrial chemicals, such as MG-90 and acetic acid esters, to create a product that was falsely sold as Agmark Special Grade Cow Ghee. This practice allegedly bypassed quality control protocols for several years, from 2019 to 2024.
Financial Magnitude and Network
The scale of the alleged fraud is estimated at ₹230 crore in total supplies to the temple complex over the five-year period. Federal investigators have specifically attributed ₹96 crore worth of the adulterated product to the manufacturing operations overseen by Mangla. The probe points to the use of several front entities, including Sri Vyshnavi Dairy Specialities and Malganga Milk & Agro Products, which were reportedly used to create a complex web of transactions. These entities allegedly helped the accused falsify purchase and sales records to mask the procurement of palm oil and maintain a false audit trail.
Ongoing Investigation
This arrest is the second significant regulatory action taken by federal authorities in this matter. Previously, the ED detained Vipin Jain, the promoter of Bhole Baba Organic Dairy Milk, as part of the same investigation. The ED is continuing to examine the logistics network involved in the supply chain to determine how these products consistently reached the temple complex despite existing quality assurance frameworks. The ongoing investigation focuses on identifying the full extent of the fraudulent network and the potential involvement of other entities in the supply chain. Market observers will track further updates from the ED regarding the scope of the operation and any additional actions taken against participants in this supply network.