Chennai, 3 December (H.S.) : According to sources , the Enforcement Directorate (ED) has announced the provisional attachment of two flats in Chennai, valued at ₹2.04 crore, belonging to the promoter of Sresan Pharmaceuticals, the manufacturer linked to a deadly cough syrup scandal.
The action targets G Ranganathan and his family members, with the assets located in Chennai's Kodambakkam area. Ranganathan, the promoter of the company, was previously arrested by the Madhya Pradesh Police in October.
The ED initiated a money laundering case after taking cognisance of two separate FIRs: one filed by the Madhya Pradesh Police concerning the tragedy, and another by the Tamil Nadu Directorate of Vigilance and Anti-Corruption (DVAC) related to an alleged bribery case involving a TNFDA official.
The MP Police complaint alleges that the cough syrup, branded as 'Coldrif,' contained toxic glycol compounds that led to acute renal failure and the deaths of at least 20 children in the state. Laboratory tests confirmed the presence of highly concentrated Diethylene Glycol (DEG) and Ethylene Glycol (EG) in the medicine.
The federal agency alleged that Sresan Pharma engaged in rampant unfair trade practices to maximize profits, which constitute proceeds of crime under the Prevention of Money Laundering Act.
The investigation found that the manufacturer purportedly used industry-grade raw materials instead of the required pharma-grade materials without proper quality checks, often purchasing them in cash without invoices to evade record-keeping.
Following the deaths, Tamil Nadu authorities ordered the closure of Sresan Pharma, and officials from both states have faced suspension.
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Hindusthan Samachar / Dr. R. B. Chaudhary
