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ED Attaches 11 Properties in ‘Milk Magic’ Laundering Case as Owner Moves to Judicial Custody

ED links Rs 20.59 crore in export receipts to forged lab certificates used to clear adulterated dairy shipments.

Overview

  • Investigators said 11 immovable assets tied to Jayshri Gayatri Food Products and managing director Kishan Modi were provisionally attached under the PMLA, valued at Rs 20.59 crore.
  • Kishan Modi was arrested on March 13, remanded to ED custody through March 18, and was sent to judicial custody on March 18.
  • ED alleges the company substituted milk fat with palm oil and other chemicals and used forged reports to secure Export Inspection Agency clearances in Indore, with 63 fake certificates identified.
  • About Rs 20.59 crore in export proceeds have been classified as proceeds of crime, with funds received in Axis Bank and HDFC Bank accounts; earlier ED action froze fixed deposits worth Rs 6.29 crore.
  • Exports based on the disputed reports reached buyers in Bahrain, Hong Kong, the UAE, Singapore, Qatar and Oman, and investigators say layering involved shell firms and a Dubai entity as the probe continues.