Bhopal, May 12 (IANS). The Enforcement Directorate (ED) has made a major breakthrough in a high-profile case involving large-scale adulteration and financial fraud in the dairy industry. The Bhopal regional office of the Enforcement Directorate officially filed the charge sheet under the provisions of the Prevention of Money Laundering Act against Jayshree Gayatri Food Products Pvt Ltd and its Managing Director Kishan Modi on May 11, 2026. After a pre-cognizance hearing, the Bhopal-based Special Prevention of Money Laundering Act Court Have taken formal cognizance of the allegations.
The investigation has revealed a highly worrying ring involved in the manufacturing of adulterated dairy products sold under the Milk Magic brand. According to the Enforcement Directorate, the company committed organized fraud by replacing natural milk fat with palm oil and other harmful substances. These adulterated products were not only widely distributed in the domestic markets, but also exported to foreign countries, posing serious health risks to the society.
The federal agency revealed that the company used highly deceptive methods to facilitate its international business. The investigation conducted under the Prevention of Money Laundering Act revealed that the company had submitted forged laboratory test reports purportedly obtained from reputed institutions to the export inspection agency to obtain the necessary clearances. Upon investigation, the concerned laboratories confirmed that these reports were indeed fabricated. The Enforcement Directorate reported that through these fraudulent exports of adulterated goods the company had generated approximately Rs. Earned criminal proceeds of Rs 19.69 crore.
The money was sent through various bank accounts and has been formally recognized as criminal proceeds. The case arose out of multiple FIRs lodged against the directors and officers of the company at the Habibganj police station and the Economic Offenses Wing, Bhopal. At the initial stage of the investigation, the Enforcement Directorate had issued a temporary attachment order to seize immovable properties linked to the accused.
–-IANS
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