In a major enforcement action against economic offenders, the Directorate of Revenue Intelligence (DRI) has dismantled a well-organised gold smuggling syndicate operating in Mumbai under the code-named “Operation Bullion Blaze.” The crackdown has led to the seizure of nearly 12 kilograms of smuggled gold and over 8 kilograms of silver, along with the arrest of 11 individuals, including the key mastermind of the racket.
The Intelligence and the Raids
Based on precise intelligence inputs, DRI officers carried out simultaneous raids on November 10, 2025, across four locations in Mumbai — including two illegal gold-melting furnaces and two unregistered trading outlets suspected of being used to process and distribute smuggled gold.
During the searches, both furnaces were found in full operation, complete with melting setups, molds, and refining toolsused to convert smuggled gold concealed in wax and other forms into standard bullion bars. Acting swiftly, the DRI teams detained the operators on-site and seized 6.35 kg of gold during the initial phase of the operation.
Follow-up searches at two unregistered gold trading shops linked to the network led to the recovery of an additional 5.53 kg of refined gold bars from one of the premises. The gold was ready for sale to local buyers in the grey market.
Seizure and Valuation
In total, the operation yielded 11.88 kg of 24-carat gold, valued at approximately ₹15.05 crore and 8.72 kg of silver, worth around ₹13.17 lakh
The recoveries were made under the provisions of the Customs Act, 1962, and the seized metals have been taken into DRI custody.
Network Structure and Arrests
The syndicate was being orchestrated by a habitual offender previously involved in gold smuggling cases. The network had a well-defined operational hierarchy, with the mastermind supported by his father, who supervised finances, a manager overseeing logistics, four hired melters handling the illegal furnaces, an accountant maintaining records of smuggled consignments and sales, and three delivery personnel managing gold distribution and client deliveries.
All 11 accused were arrested and produced before the Judicial Magistrate First Class (JMFC), Mumbai, where they were remanded to judicial custody pending further investigation.
A Larger Economic Threat
Preliminary investigations suggest the operation was part of a broader gold smuggling conspiracy, with links to international sources and local grey market buyers. The network was allegedly circumventing India’s gold import policy, resulting in significant loss of customs revenue and distortion of the domestic bullion market.
Such illegal trade channels, officials said, undermine legitimate businesses, fuel unaccounted cash transactions, and pose risks to the nation’s economic and fiscal health.
DRI’s Continued Vigilance
A senior DRI officer stated that the operation underscores the agency’s unwavering resolve to combat organised smuggling and economic crime, “The DRI will continue to pursue gold smuggling syndicates that erode revenue, manipulate markets, and threaten financial integrity. Through operations like Bullion Blaze, we reaffirm our commitment to a transparent and lawful trading ecosystem.”
Further investigations are ongoing to trace the supply chain, financial trail, and potential overseas linkages of the network.
Background
India remains one of the world’s largest consumers of gold, a factor that has often been exploited by smuggling syndicates to bring in untaxed bullion through illicit channels. Over the past year, DRI has intensified its surveillance and enforcement drives targeting such networks, recovering hundreds of kilograms of smuggled gold across major airports and urban centres.
Operation Bullion Blaze stands as yet another successful strike in DRI’s campaign to safeguard India’s economic interests and strengthen compliance within the bullion trade sector.