In a major crackdown, the Directorate of Revenue Intelligence (DRI) has busted an illegal gold smelting factory operating in South Mumbai, seizing 12 kilograms of gold and 9 kilograms of silver worth nearly ₹23 crore.
According to officials, the factory was being used to melt and reprocess smuggled gold, which was then sold in the local market.
Acting on a tip-off, DRI officers raided Jamnadas Haveli in Kalbadevi, where they arrested four people and recovered gold and silver bars.
Those arrested revealed that the premises belonged to Nihar Thakkar and Suraj Narale, who were allegedly using the unit to melt smuggled gold.
Both Thakkar and Narale were later taken into custody after they failed to produce any valid documents for the possession of over 4 kg of gold worth ₹5.1 crore and 8.8 kg of silver valued at ₹13.8 lakh.
Following leads from the Kalbadevi raid, DRI officials conducted another operation in Mazgaon, where two more people were arrested and 2.3 kg of gold worth ₹2.4 crore was seized.
Based on their interrogation, another raid was carried out at Rajbagh in Mumbadevi, leading to the arrest of four additional suspects and the recovery of 5.5 kg of gold valued at approximately ₹7 crore.
In total, 12 people have been arrested in the case so far. The DRI is investigating the broader network behind the smuggling and distribution of the precious metals in Mumbai’s jewellery market.