Operation Bullion Blaze: Busting Gold Smuggling and Melting Syndicate in Mumbai

A major smuggling racket operating across Mumbai has been dismantled under the Directorate of Revenue Intelligence’s “Operation Bullion Blaze.” Acting on precise intelligence, officers conducted simultaneous raids at four covert locations and uncovered an organised network that smuggled gold into India, melted it in illegal furnaces, and sold the refined bullion through grey-market channels.

Raids across melting units and shops

Two clandestine melting units and two unregistered shops were searched during the operation. Both furnaces were found fully active, equipped to convert smuggled gold—often concealed in wax or other carriers—into bullion bars. Officers seized 6.35 kg of gold directly from these units, detaining operators who were preparing fresh batches for processing.

Recovery of gold, silver and syndicate roles

Follow-up searches at the associated shops, used to receive and redistribute smuggled gold, led to the recovery of an additional 5.53 kg of refined bars. In total, 11.88 kg of 24-carat gold worth about Rs 15.05 crore and 8.72 kg of silver valued at over Rs 13 lakh were seized under the Customs Act, 1962. Eleven individuals were arrested, including the mastermind with a prior smuggling record. Others held included his father, a manager, four melters, an accountant, and three delivery personnel responsible for distribution.

High-value conspiracy targeting revenue

Preliminary investigations indicate a structured operation designed to bypass India’s gold-import rules and divert high-value bullion into the informal market. The racket not only evaded customs duties but also supplied unaccounted gold that distorts legitimate trade. All accused were produced before the JMFC in Mumbai and remanded to judicial custody.

Exam Oriented Facts

• Total seizure: 11.88 kg gold (Rs 15.05 crore) and 8.72 kg silver (Rs 13.17 lakh).
• Raids covered two melting units and two unregistered shops in Mumbai.
• Eleven accused arrested, including the mastermind and operational staff.
• Case registered under provisions of the Customs Act, 1962.

DRI’s continued enforcement drive

The DRI emphasises that disrupting gold-smuggling networks is central to protecting government revenue and stabilising bullion markets. By intercepting illegal inflows, the agency aims to curb the shadow economy that thrives on tax evasion and unregulated trade. Investigations into financial trails, overseas links and domestic buyers are continuing as authorities work to trace the full extent of the syndicate’s operations.