Tirupati laddu row: TN-based dairy supplied ghee from Uttarakhand dairy for commission; drivers appointed as directors

Hyderabad: The CBI-led SIT's probe found that the Tamil Nadu-based AR Dairy Pvt. Ltd., accused of supplying adulterated ghee to the Tirumala temple to prepare sacred Laddu prasadam, had procured the cow ghee from a Uttarakhand-based dairy and supplied it to TTD for a commission of Rs 2.75 to Rs 3 per kilogram of ghee.

The remand report submitted by the SIT in a Tirupati court recently seen by DH also said that, fearing repercussions after the ghee adulteration episode flared up, the Uttarakhand-based dairy promoters appointed their drivers as directors to escape any action from the authorities in September.

In a key development, the CBI-led SIT has arrested four individuals in connection with the alleged adulteration of the cow ghee used to make Tirumala laddu prasadam last Sunday. Those arrested include Bipin Jain and Pomil Jain, former directors of Bhole Baba Dairy of Roorkee, Uttarakhand; Vaishnavi Dairy of Tirupati; CEO Apoorva Vinay Kant Chawda; and AR Dairy MD Raju Rajasekharan.

The investigation revealed serious violations during ghee supply, with many alleged irregularities. Representatives of Vaishnavi Dairy secured tenders in the name of AR Dairy for ghee supply. Vaishnavi Dairy fabricated false documents and seals, using the AR Dairy name to manipulate the tender process. Intriguingly, Bhole Baba Orogonic Dairy Milk Pvt Ltd of Uttarakhand was the source and supplier of ghee to Vaishnavi Dairy as well as AR Dairy.

Bhole Baba used to supply ghee in tins at Rs 291 per kg to TTD in the year 2019. Bhole Baba approached the Vaishnavi dairy in 2019 to participate in ghee tenders in the name of the Vaishnavi dairy while ghee will be supplied from Bhole Baba. This practice has been continuing from 2020, and Vaishnavi Dairy has been receiving commissions. Bhole Baba has also supplied ghee directly to TTD in tankers in the year 2022. In 2022, TTD inspected Bhole Baba Dairy and submitted a report that manufacturing practices are not satisfactory and are hence technically disqualified. In May 2023, APurva Chavda of Bhole Baba started working with AR Diary and using them as a front for participating in tenders. AR diary did not possess qualifications for tender but supplied fabricated documents to meet TTD requirements under the 1500 km radius and national category.

Cow ghee is the main ingredient for the preparation of laddu prasadam and other prasadams in Tirumala Tirupati Devasthanams, and the average daily requirement of cow ghee is about 15,000 kgs. TTD has been procuring cow ghee in tankers with Agmark Special Grade for a period of 6 months in three modules, i.e., National Dairies (20 lakh kg), Dairies located within the radius of 1500 km (10 lakh kg), and AP Dairies (5 lakh kg). TTD has also been procuring cow ghee in 15 -kilogramme tins.

“In March 2024, TTD called for tenders of cow ghee Agmark special grade under the 1500 km category. BHole Baba prepared false and fabricated documents to get the AR Diary qualified. Specifically, the production of cow ghee required as per the tender was 180 MT per month. AR Diary had produced 56.9 MT of cow ghee for 2023. However, they altered the figures to show 196.8 MT instead of 56.8 MT. The minimum procurement of milk must be two lakh litres per day. AR Diary signed a false declaration during the tender. Additionally, Bhole Baba transferred the EMD amount to AR Diary. Even though AR Diary has no capacity to participate, by publishing these false documents, they met the criteria. As per the tender, AR Diary was to manufacture and supply. However, AR Diary procured ghee from Vyshnavi, and further, Vyshnavi procured it from Bhole Baba. In September 2024, after the events aforesaid, it was noticed that Bhole Baba promoters Vipin and Pommel Jain have appointed their vehicle drivers Surendra Singh and Saurabh Kasyap as directors of Vyshnavi Dairy,” said the remand report.

Similarly, the ghee supplier should be the manufacturer of AGMARK special grade ghee. However, the probe revealed that AR Diary violated the tender by providing a fake warranty certificate.

The Supreme Court formed a five-member special investigation team (SIT) involving central and state officials to probe the ghee adulteration reports.

The five-member team included two from CBI, two from the AP government, and one from the Food Safety and Standards Authority of India (FSSAI). AR Dairy from Tamil Nadu secured a tender to supply ghee at Rs 320 per kg. On July 8, eight tankers of ghee arrived from AR Dairy, and four tankers were sent to labs for testing. On July 17, reports from the NDDB Lab in Gujarat confirmed the presence of impure substances such as animal fat in the ghee.