The Food Safety and Standards Authority of India (FSSAI) has suspended the licence of AR Dairy Food Pvt. Ltd., a Dindigul-based company in Tamil Nadu, for the manufacture, transport, and sale of ghee. The suspension, effective from 13 June 2025, comes after a detailed probe revealed serious violations under the Food Safety and Standards (FSS) Act, 2006.
According to official documents and sources, AR Dairy could now face strict penalties, including heavy monetary fines, imprisonment, and even blacklisting.
Allegations Against AR Dairy
The company allegedly supplied adulterated ghee to the Tirumala Tirupati Devasthanams (TTD), the trust that manages the operations and finances of the Venkateswara Temple in Tirumala. Tests conducted by FSSAI detected potential foreign fats in the ghee samples.
Advanced testing methods such as gas-liquid chromatography (GLC) and high-performance liquid chromatography (HPLC) were used to analyze the ghee’s fatty acid profile. The detection of plant-based compounds like sitosterol, which are not naturally present in pure milk fat, confirmed adulteration.
Apart from adulteration, the company was found to be selling and distributing ghee to TTD without a valid licence for repackaging or relabeling. Investigators also found that false information had been provided to both FSSAI and TTD.
Legal Background
This is not the first time AR Dairy has come under scrutiny. A previous suspension order issued on 14 February 2025 was set aside by the Madurai Bench of the Madras High Court, which directed the FSSAI to conduct a personal hearing before taking further action. After reviewing evidence and giving the company a chance to respond, FSSAI has now upheld its decision to suspend the licence.
What Lies Ahead
The suspension marks a major setback for AR Dairy, as the company faces possible criminal action and long-term restrictions on its operations. Meanwhile, concerns have been raised over food safety and consumer trust, especially given the involvement of TTD, one of the most significant temple trusts in India.
Queries sent to the health ministry, FSSAI headquarters in New Delhi, the Southern Regional Office in Chennai, the CBI, and AR Dairy went unanswered till press time. Attempts to reach TTD and Sri Vyshnavi Dairy for comment were also unsuccessful.
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