Counterfeit soaps worth Rs. 2 crore seized; two arrested by Malakpet Police on charges of forgery  

Bengaluru: In a significant operation, the Malakpet Police in Hyderabad busted a network engaged in the illicit manufacturing and distribution of counterfeit Mysore sandal soap — a popular product endorsed by the Karnataka government. Two persons have been arrested. 

Executed in Hyderabad, the operation resulted in the discovery of goods valued at approximately Rs. 2 crore, encompassing fake products and the carton boxes employed for their deceptive packaging.

The alleged masterminds behind this unlawful enterprise, identified as Rakesh Jain and Mahaveer Jain from Hyderabad, have been arrested on charges of forgery. The investigation was triggered by an anonymous tip-off that alerted Industries Minister M.B. Patil, also serving as the president of Karnataka Soaps and Detergents Limited (KSDL), to the prevalence of bogus Mysore sandal soap in the Hyderabad market. 

Swiftly responding to the information, Minister Patil directed Dr. Prashant, the Managing Director of KSDL, to conduct a thorough inquiry. The investigation revealed a collaboration between Rakesh Jain and Mahavir Jain, who were jointly involved in the production of these counterfeit and imitation soaps. 

It is noteworthy that, the patent rights for Mysore Sandal soap is owned by the Government of Karnataka through the KSDL. As part of the investigation, the Police executed searches, leading to the discovery of counterfeit products and manufacturing materials valued at approximately Rs. 2 crore.

Further scrutiny by KSDL staff revealed the presence of fake soaps in various areas of Hyderabad. To trace its origin, staff members purchased counterfeit products worth one lakh rupees and initiated an operation to identify the source. 

Exploiting the heightened demand during Sankranti festival, they strategically placed an order for soap amounting to Rs. 25 lakh. Posing as transporters, they reached  production unit, ultimately unveiling a counterfeit manufacturing unit. 

The confiscated items from the operation include 20 carton boxes of 150-gram soaps (totalling 1,800 pieces), 47 carton boxes of 75-gram soaps (9,400 pieces) and 400 empty carton boxes for both 150 gram and 75-gram soap packs. The Police complaint indicates that the counterfeit unit was capable of producing 400 carton boxes. 

In a statement, it was revealed, “Fake soaps were distributed in  certain areas of Hyderabad. However, there was insufficient information about the suppliers. KSDL staff procured products worth Rs. 5 lakh and conducted authenticity tests, confirming their illegitimacy.”