The Enforcement Directorate (ED) has launched a major investigation into Jayshree Gayatri Food, a dairy product manufacturer, with raids conducted at the company's headquarters in Bhopal, along with additional locations in Bhopal, Morena, and Sehore. The company, which also exports its products, is under scrutiny for allegedly using fake certificates to facilitate international shipments. It is believed that foreign investments are being funneled through these fraudulent documents. This follows earlier action by the State Economic Offenses Investigation Bureau (EOW) six months ago.
The ED's investigation has uncovered that the company has been exporting substandard products to 27 countries using falsified certificates. Complaints about the company’s low-quality food products had previously been lodged by foreign agencies with the Indian government. Furthermore, the factory’s operations have been controversial for environmental issues, with reports of chemical-laden water ruining farmers' crops and failure to address water pollution. In 2022, the company was fined Rs 1.2 crore after an investigation found it guilty of these environmental violations.
ED is focusing on the financial transactions of the company’s promoters, including Kishan Modi, the company’s owner, and other stakeholders. In addition to raiding the company’s office and factory locations, the ED has also searched Kishan Modi's house in Shahpura, Bhopal. More than 15 officers participated in the raid, which included personnel from the CRPF for security.
The investigation extends to the company’s links with real estate and other businesses. ED officials are also examining the factory's other locations, including the Paneer factory in Sehore and Krishna Milk Products in Morena. Despite the high-profile nature of the raids, the details remain largely confidential, and local police and factory management have not disclosed any information.
The company has been embroiled in multiple controversies over the years, including accusations of adulterating dairy products with animal fat. Additionally, the Modi family, which owns the company, has been linked to influential political figures in the state.
