The multi-agency operation mobilized 12 specialized enforcement teams comprising Food Safety Officers, local police personnel, and officials from the Hyderabad Food Safety Task Force (H-FAST). During on-site inspections, authorities discovered facilities manufacturing and marketing analogue paneer substitutes disguised as authentic dairy products, utilizing unauthorized non-dairy ingredients, industrial additives, and unapproved vegetable fats to mimic traditional milk solids.

Inspectors reported that several audited units lacked mandatory milk procurement documentation and traceability logs, preventing regulators from verifying raw milk provenance and handling chains. Enforcement officers seized adulterated and non-compliant food commodities valued at ₹7.19 lakh ($8,600). The confiscated inventory included approximately one metric ton of loose palm oil, 476 kg of glycerol monostearate (an emulsifying agent used to blend fats), 1,760 packs of industrial cooking cream, and 150 kg of skimmed milk powder, alongside lifting 21 targeted samples for statutory laboratory testing.

In response to immediate public health risks, TG SAFE issued stop-work orders and suspended the operating licences of three prominent processing facilities: Laxmi Foods located in Gaganpahad, Dhana Lakshmi Dairy Products in Mailardevpally, and Natraj Milk and Milk Food Products in Alwal. Regulators stated that formal improvement notices would be served to two additional facilities, while show-cause notices would be issued to two others requiring justification against potential operational shutdowns.