Audits conducted at the Kharghar facility revealed substantial deceptive trade practices concerning the thermal processing and categorization of liquid milk. Regulatory inspectors confirmed that while the business actively marketed its products as pasteurized standardized and toned milk, the facility entirely lacked commercial pasteurization equipment on site. Distributing unpasteurized liquid milk under pasteurized labeling claims constitutes a direct violation of the Food Safety and Standards Act, exposing commercial and household buyers to pathogenic microbial risks.

The investigation further exposed systematic product mislabeling designed to exploit market price differentials between cow and buffalo milk fractions. State authorities discovered that loose toned milk was being falsely marketed and sold to consumers as pure cow milk, while lower-cost loose standardized milk was passed off as premium high-fat buffalo milk. This widespread compositional substitution allowed the enterprise to capture inflated wholesale margins while bypassing statutory fat and solids-not-fat testing standards mandated for formal dairy handling.

Beyond commercial fraud, regulatory authorities documented widespread deficiencies in basic sanitation, cold chain maintenance, and quality control infrastructure. The handling facility failed to maintain baseline hygienic standards, lacked validated temperature monitoring systems to prevent bacterial growth during storage, and operated without documented raw material testing logs. In response to these compound health hazards, the FDA issued an immediate suspension of the establishment’s food business license to halt further uninspected distribution.