The Directorate of Revenue Intelligence (DRI) has cracked down on a major gold-smuggling clandestine syndicate in Mumbai under “Operation Bullion Blaze”, the Ministry of Finance said on Wednesday.

According to a press release by the ministry, DRI officers acted on intelligence reports to carry out simultaneous search operations in four discreet locations in Mumbai—namely two illegal melting units and two unregistered shops. The officers unearthed an organised racket involved in smuggling gold into the country, melting it in covert furnaces, and illicitly selling the refined bullion in the grey market.

The officers discovered two fully operational furnaces equipped with complete setups to convert smuggled gold into wax and other forms into bars. The sleuths detained the two furnace operators and recovered 6.35 kilograms of gold on the spot. Further searches—at the two shops used by the mastermind of the syndicate to receive smuggled gold and sell the melted gold to buyers—culminated in the recovery of an additional 5.53 kilograms of gold bars from one of the shops.

In total, 11.88 kilograms of 24-carat gold valued at ₹15.05 crore, and 8.72 kg of silver worth ₹13.17 lakh, were seized under the provisions of the Customs Act. It was discovered that 11 people were involved in the smuggling, melting, and illicit sale of gold bars. Those involved in running the clandestine operations, including the mastermind, were arrested.

It was also discovered that the mastermind of the operation had a history of gold smuggling. The mastermind operated the syndicate in connivance with his father, a manager, four hired melters, an accountant responsible for maintaining records of smuggled gold, and three delivery personnel handling its distribution. All accused were produced before the JMFC, Mumbai, and remanded to judicial custody.

Preliminary findings point to a well-orchestrated conspiracy to smuggle and illicitly sell gold, in blatant violation of India’s gold import policy and aimed at defrauding the government of revenue. Further investigation into the matter is in progress.

In September, DRI sleuths had seized 39.2 kilograms of hydroponic weed at the Chhatrapati Shivaji Maharaj International Airport in Mumbai. Three persons have been arrested under the provisions of the Narcotic Drugs and Psychotropic Substances (NDPS) Act, 1985. With the recent arrest, 108.67 kg of hydroponic weed has been seized by the DRI in separate pan-India operations in less than twenty days, according to the Ministry of Finance.