Directorate of Enforcement (ED), Hqrs. Office, New Delhi has arrested Dinesh Gupta, former
Managing Director of Best Foods Limited on August 8, 2025. After being presented before the
Competent Court, he was remanded to six days of ED custody for further interrogation. Following the
custodial investigation, the Court ordered his judicial custody on August 13, 2025, where he will
remain detained until August 27, 2025.
ED initiated investigation on the basis of an FIR registered by the CBI in 2020 against M/s
Best Foods Limited and others.
ED has intensified its investigation into a major bank fraud case involving alleged
misappropriation of loans taken from consortium of banks worth Rs 1740 Crore by one of the largest
processors of premium Basmati rice in the country, M/s Best Foods Limited.
ED conducted search operations under PMLA, 2002 from 15th to 17th July 2025 at five
premises located in Karnal, Chandigarh, Kaithal, and Ambala. During the searches, the agency
identified and froze five high end vehicles under PMLA 2002, suspected to be Proceeds of Crime.
The prime accused, Dinesh Gupta, former Managing Director of Best Foods Limited, allegedly
manipulated the company’s auction process during liquidation by facilitating the purchase of its
properties through more than 75 shell entities registered under his relatives’ names—circumventing
legal and financial oversight. During its investigation, ED uncovered benami assets worth more than
200 Crore, suspected to have been acquired using diverted bank funds.
ED continues its efforts to trace the trail of illicit funds and identify other individuals involved in
the alleged fraud.
