ED attaches Rs 129.85 crore in probe of adulterated ghee supplied for Tirupati laddus

The Enforcement Directorate on Wednesday issued provisional attachment orders for movable and immovable assets worth Rs 129.85 crore as part of its money laundering investigation into the alleged adulteration of ghee supplied to the Tirumala Tirupati Devasthanams, the body that prepares the famous Tirupati laddus offered to devotees.

What the ED action covers

The agency said the attached assets belong to a group of dairy companies, their promoters and family members, and other related entities accused in the probe. The Enforcement Directorate described the measure as a provisional attachment under the Prevention of Money Laundering Act while its investigation continues.

According to the ED and concurrent reporting by national outlets, the money laundering case follows criminal complaints lodged with Tirupati police and a wider investigation that has included searches at multiple premises, chargesheets and earlier arrests. The directorate states its probe found receipts and banking movements consistent with use of front companies, forged invoices and hawala style cash returns used to conceal proceeds from the sale of adulterated product.

How the alleged adulteration was carried out

The investigation alleges that suppliers delivered a product marketed and invoiced as Agmark special grade cow ghee, which was then used to make the sacred laddus. Laboratory and investigative findings reported by investigative agencies say the commercial product contained refined palm oil, palmolein and palm kernel oil blended with chemicals such as monoglycerides and acetic acid esters to mimic the smell, texture and appearance of dairy ghee.

Authorities say this synthetic mixture was delivered directly and via intermediary firms between 2019 and 2024, generating alleged fraudulent sales of roughly Rs 234.5 crore in product supplied to the temple trust.

Legal and investigative timeline

The probe has involved multiple agencies. Local police at Tirupati registered an FIR that enumerated charges including criminal conspiracy, cheating, forgery and corruption. A Special Investigation Team led by the Central Bureau of Investigation later filed a multiaccused chargesheet in the criminal case, and the ED opened a parallel proceeds of crime and money laundering inquiry under PMLA.

Investigators have already arrested several individuals connected to the supply chain. Media reporting and the ED statement identify arrests that include promoters and executives of the dairy firms named in the case, with at least one remand delivered by a special PMLA court last month.

Scale and financial mechanics alleged by investigators

Prosecutors allege the operation used a combination of fictitious purchase and sale entries, forged invoices and bank transfers that were then turned into cash through hawala networks and other informal channels. The ED says the provisional attachment targets assets held by the accused and related companies to prevent dissipation of suspected proceeds while the money laundering probe proceeds.

With the ED order in place, the total value of assets attached, seized or frozen in the case reaches a figure exceeding Rs 130 crore under the combined actions of enforcement agencies.

Why the case matters

This investigation touches a sensitive intersection of food safety, religious trust, institutional procurement and financial crime. The Tirumala laddus are a central element of worship at one of India’s busiest pilgrimage sites. Allegations that adulterated industrial oil blends were passed off as high grade dairy ghee for use in the laddus have prompted sustained public attention and political scrutiny.

Beyond reputational damage, the probe raises questions about procurement oversight, testing and vendor management at large institutional buyers, and the vulnerabilities firms and public bodies face when complex supply chains are not subject to independent continuous verification.

Next steps for investigators and for the trust

The ED said it will continue tracing funds, examining bank records and pursuing charges under the PMLA. Criminal proceedings in the predicate cases remain with police and the CBI led special investigation team, which has already filed chargesheets naming multiple suspects. Courts will determine whether provisional attachments are confirmed, and whether accused individuals face trial on criminal charges and money laundering counts.

For the Tirumala Tirupati Devasthanams, the case has already led to internal reviews, and the trust faces pressure to tighten procurement rules, increase third party testing and publish clearer documentation of vendor checks. Devotees and donors have demanded clarity on whether any contaminated laddus reached worshippers and what remedial measures have been taken.

Practical implications for consumers and devotees

Investigators and regulators recommend that institutional buyers adopt routine independent testing protocols for food ingredients, maintain chain of custody documentation for sensitive supplies and avoid reliance on single suppliers without periodic requalification. For consumers the case is a reminder that food fraud can occur where supply chains are complex and oversight is fragmented.

As the ED pursues asset attachments and the criminal case continues, the court process will be the arbiter of civil and criminal responsibility. For now, provisional seizures aim to secure funds investigators say were illicitly gained while the facts are examined in court.

Reporting for this article draws on official statements from the Enforcement Directorate and contemporaneous coverage by national news organisations that tracked the ED attachment and the ongoing criminal investigations.