ED raids nine premises in Arunachal Pradesh in liquor smuggling probe

The Enforcement Directorate (ED) raided nine premises tied to wholesale liquor firms across Arunachal Pradesh on April 23, stepping up its probe into a sprawling smuggling network funnelling booze into Assam and beyond.

Officials from the ED's Guwahati Zonal Office targeted sites in Itanagar, Naharlagun, Seppa, Ziro, Daporijo, Namsai, and Roing under the Prevention of Money Laundering Act (PMLA), 2002. The action builds on an investigation sparked by multiple FIRs from Assam Police and a tip-off from the Assam Excise Department, exposing illegal cross-border liquor hauls.

The case originated with a complaint on October 17, 2024, later broadened to cover 173 additional FIRs. Earlier raids on February 4, 2025, hit three key manufacturers accused of masterminding the operation. Investigators uncovered a sophisticated setup exploiting excise duty gaps between states: liquor produced for Arunachal markets gets rerouted through bonded warehouses and wholesalers, masked by tribal partnerships and fake licence holders.

These three kingpins allegedly dominate more than 25 linked entities. Each wholesaler operates on dummy licences in local names, but real control—and cash flow—stays with the bosses. Bank records flag 51 to 90 per cent of credits as mystery cash dumps, paired with dodgy invoice tricks like splitting bills under Rs 2 lakh. One firm even churned out over 200 identical Rs 1,99,554 bills in a single month.

Raiders seized roughly Rs 40 lakh in unaccounted cash, plus stock books and daily ledgers all funnelling back to the kingpins' hubs. On-site staff admitted the true ownership. Most damning: 14 forged seals, including fake "Excise Department, Government of Arunachal Pradesh" stamps, likely used to whip up sham transport permits for the Assam runs.

This racket not only starves Arunachal's coffers of rightful excise revenue but floods Assam with untaxed liquor, undercutting legal trade and state controls. The ED probe continues, with more leads under scrutiny.