Bengaluru, September 30, 2026: The Special Investigation Team (SIT) probing an alleged interstate counterfeit medicine racket has arrested another suspect, taking the total number of arrests in the case to seven.
The latest accused has been identified as Balasubramanian, a Chennai-based pharmaceutical distributor and business associate of alleged kingpin R. Prashanth Rajan Babu. He was arrested in Chennai on Tuesday and brought to Bengaluru for questioning. A court has remanded him to seven days of SIT custody.
Investigators allege that Balasubramanian was a partner in DM Pharma, a pharmaceutical distribution company established by Prashanth, his wife and Balasubramanian. The SIT is examining whether the company was used to distribute counterfeit medicines through the regular pharmaceutical supply chain.
According to investigators, Balasubramanian allegedly received consignments of suspected counterfeit medicines from Prashanth and another accused, identified as Veeresh, and distributed them in Chennai and other locations. Police are examining the movement of the consignments, financial transactions and the companies allegedly involved in the distribution network.
The latest arrest came shortly after Prashanth was arrested at Kempegowda International Airport after arriving from abroad. Investigators are also examining his international travel history and bank transactions as part of efforts to establish the wider network.
The case began after authorities raided an alleged illegal manufacturing facility near Bidadi in Bengaluru South district on August 18. The operation resulted in the seizure of suspected counterfeit and expired medicines, manufacturing equipment, packaging materials and other stock valued at around ₹5.05 crore.
Investigators allege that the network procured relatively inexpensive bulk medicines from other states, refilled or repackaged them and relabelled them as premium medicines of established pharmaceutical companies. Authorities are particularly examining allegations that some suspected counterfeit products were supplied to hospitals and drug stores.
The investigation has also expanded to hospitals and clinics that may have purchased medicines from companies or distributors linked to the case. Notices have reportedly been issued seeking purchase and supply details as investigators attempt to trace the alleged distribution chain.
Authorities have already taken regulatory action against several pharmaceutical establishments in connection with the investigation. The Karnataka Food Safety and Drugs Administration cancelled the licences of 16 wholesalers and retailers and suspended the licences of eight establishments, according to the latest reports.
The SIT is continuing to question the arrested suspects and examine financial records, company links, medicine consignments and interstate distribution routes. Investigators are also working to identify any other individuals or businesses allegedly connected to the network.
The probe remains ongoing, and the allegations against the arrested individuals have yet to be tested in court.
