PRESS RELEASE
30.01.2025
Directorate of Enforcement (ED) , Bhopal Zonal Office has conducted search operations
on 29.01.2025 under the provisions of Prevention of Money Laundering Act (PMLA), 2002 at
various premises situated in Bhopal, Sehore and Morena districts of Madhya Pradesh in the
matter of M/s Jayshri Gayatri Food Products Pvt. Ltd. (“JGF”). T he search co vered the
residential premises of the key persons including Kishan Modi, Smt Payal Modi, Amit Kuklod and
others and also the official premises and factory of M/s Jayshri Gayatri Food Products Pvt. Ltd,
who were the alleged beneficiary of the Proceeds of Crime.
ED initiated investigation on the basis of FIR registered/Charge -sheet filed by Economic
Offences Wing (EOW), Bhopal against M/s Jayshri Gayatri Food Products Pvt. Ltd. Scrutiny of
FIR revealed the company through its directors were engaged in produ ction and distribution of
adulterated milk products domestically and internationally using “forged lab certificates”.
ED investigation revealed that M/s JGF manufactured adulterated milk products and used
falsified lab certificates purportedly issued by BIS/NABL recognized labs to secure export
certification from Export Inspection Agency (EIA) Indore , which were used for export of
adulterated milk products. Verification revealed that these certificates were either originally
issued to other companies or forged or fraudulently obtained. During investigation so far, 63
forged lab certificates have been identified which were used for export of adulterated milk
products to various countries as well for domestic consumption.
During the search operations , mova ble assets in the form of fixed de posits (FDs) of
around Rs. 6.26 Crore were found in the name of company or its D irectors, which were frozen
and cash amounting to Rs. 25 Lakh was seized along with seizure of luxury cars viz BMW and
Fortuner. Further, documents pertaining to Immovable assets/ properties worth more than Rs.
66 Crore in the name of various companies and family member s of Kishan Modi were found
along with other incriminating documents / records.
Further investigation is under progress.
Brief
On "30/01/2025", the "Enforcement Directorate (ED)" issued an update regarding "ED, Bhopal has conducted search operations on 29.01.2025 under the provisions of PMLA, 2002 at various premises situated in Bhopal, Sehore and Morena districts of Madhya Pradesh in the matter of M/s Jayshri Gayatri Food Products Pvt. Ltd." The searches were carried out at residential and official premises of key persons, including Kishan Modi, Smt Payal Modi, Amit Kuklod, and others, and covered alleged beneficiary of proceeds of crime, M/s Jayshri Gayatri Food Products Pvt. Ltd.
Highlights content goes here...
Purpose
The Directorate of Enforcement (ED) Bhopal Zonal Office conducted search operations on January 29, 2025, under the Prevention of Money Laundering Act (PMLA), 2002, at various premises in Madhya Pradesh. The operation targeted M/s Jayshri Gayatri Food Products Pvt. Ltd. (JGF), accused of manufacturing and distributing adulterated milk products domestically and internationally.
Effects on Industry
The search operations and subsequent freezing of assets worth Rs. 6.26 Crore will likely have a significant impact on the dairy industry, particularly for companies involved in the production and export of milk products. The revelation of forged lab certificates used by JGF to secure export certifications may lead to increased scrutiny and regulation within the industry, potentially affecting businesses that rely on similar certification processes.
Relevant Stakeholders
The search operations affected various stakeholders, including:
- M/s Jayshri Gayatri Food Products Pvt. Ltd. (JGF) and its directors
- Export Inspection Agency (EIA) Indore, which issued export certifications to JGF based on forged lab certificates
- Companies involved in the dairy industry, particularly those engaged in milk production and export
- Consumers who may have unknowingly consumed adulterated milk products
Next Steps
The investigation is ongoing, and further actions are expected. The ED will likely:
- Continue to investigate JGF and its directors for their alleged involvement in manufacturing and distributing adulterated milk products
- Scrutinize other companies that may be using similar certification processes or have ties to JGF
- Work with regulatory bodies to implement stricter measures for lab certificate issuance and export certification
Any Other Relevant Information
The search operations revealed a complex network of assets and properties linked to Kishan Modi, the key person behind JGF. The investigation will likely delve deeper into this aspect, potentially uncovering more details about the alleged money laundering activities.
