The Directorate of Revenue Intelligence (DRI) has seized suspected foreign-origin gold and arrested three persons, including a jewellery trader, during a crackdown on an alleged gold smuggling network in Madhya Pradesh's Katni district.

The operation began late Friday after DRI's Bhopal Regional Unit intercepted two men at Katni Railway Station based on specific intelligence inputs. Officials recovered 748.10 grams of foreign-origin gold biscuits from their possession, triggering further investigation that led to a raid at a jewellery showroom in the city's Sarafa Bazaar.

Gold Seized From Jewellery Store

During the search at Goenka Jewellers, DRI officials recovered a 100.1-gram foreign gold bar bearing the marking "Valcambi Switzerland 100 Gram Gold 995.0," indicating its foreign refinery origin.

In addition to the Swiss gold bar, officials seized 11 cut gold pieces, one flattened gold fragment and a gold wire shaped like a ring from the premises.

The arrested suspects at the railway station were identified as Satyam Saraf and Ayush Mishra. During interrogation, they allegedly disclosed that part of the recovered foreign gold was intended to be delivered to the jewellery establishment.

Import Documents Not Produced

According to DRI officials, jewellery trader Arun Kumar Goenka was asked to produce valid import documents, customs clearance records and purchase invoices related to the seized foreign-origin gold. However, the required documents could not be presented during the search.

Based on the absence of supporting records, the agency seized the recovered gold under Section 110 of the Customs Act, 1962, while citing provisions related to goods suspected of illegal import under Section 111 of the Act.

Officials said the markings on the Swiss gold bar strengthened suspicion that the metal may have entered India through unauthorised channels.

Jewellery Trader Hospitalised During Questioning

Following the raid, DRI issued a summons to Arun Kumar Goenka under Section 108 of the Customs Act, directing him to appear before investigators and provide documents relating to the seized gold.

On Saturday, Goenka appeared before officials at the Central GST office for questioning. During the interrogation, his health reportedly deteriorated, following which he was shifted to the Intensive Care Unit (ICU) of the district hospital for treatment.

Smuggling Network Under Scanner

Investigators are now focusing on tracing the origin of the seized gold and identifying the supply chain that allegedly brought the foreign bullion to Katni.

DRI is examining whether the case involves only the arrested individuals or is linked to a larger organised gold smuggling network operating through local jewellery markets.

Officials have also begun analysing the accused persons' mobile phones, financial transactions, statements and other technical evidence. Further arrests are likely if additional links emerge during the investigation.

The agency has not yet disclosed the total estimated value of the seized gold.