ED raids five premises in Bengaluru over fake drugs racket

Mangalore Today News Network

Bengaluru, Nov 3, 2026: The Enforcement Directorate (ED) on Monday conducted searches at five locations in Bengaluru in connection with a fake medicines racket and froze Rs 9 lakh in a bank account linked to a key accused.

Sources said the frozen amount was held in an account belonging to Veeresh Kumar Jain, proprietor of Krupa Healthcare near Minerva Circle. Jain was earlier arrested and questioned by the Karnataka Special Investigation Team (SIT), which is independently investigating the racket unearthed at Tavarekere, on the outskirts of Bengaluru, on August 18.

During the searches, ED officials seized digital devices, records and other incriminating documents belonging to various individuals.

The investigation revealed that R. Prashanth, the alleged kingpin of the racket, had arranged a farmhouse near Bidadi to manufacture, repackage and relabel medicines without valid drug licences or permits. The SIT arrested him in September.

According to investigators, inexpensive bulk formulations sourced from manufacturing units in different states were allegedly repackaged into new vials and fraudulently labelled as expensive Pfizer antibiotics, including Zavicefta and Emblaveo.

The vials reportedly contained generic medicines but carried Pfizer-branded labels. These were allegedly distributed through DM Pharmaceuticals and supplied to Krupa Healthcare.

Sources said Krupa Healthcare further supplied the counterfeit medicines to other pharmaceutical companies and hospitals, mixing them with genuine medicines to evade detection.

The ED action followed an FIR registered after a joint search by the Drug Control Authority and police at a residential property in CK Tandya village. During the search, the suspects were allegedly found storing medicines without valid licences or permits and replacing labels on the stock.