The Enforcement Directorate has arrested insolvency professional Jitesh Gupta under the Prevention of Money Laundering Act in connection with its probe into alleged fund diversion involving Best Foods Ltd. The agency alleges that Gupta, while serving as interim or resolution professional, re-admitted claims it considered fraudulent and supported a resolution plan allegedly linked to interests associated with Dinesh Gupta. He was produced before a Special PMLA Court and remanded to ED custody. The probe follows a CBI FIR involving alleged financial irregularities and corruption.
ED arrests insolvency professional Jitesh Gupta in Best Foods money laundering case
The Directorate of Enforcement has arrested insolvency professional Jitesh Gupta in a case related to alleged diversion and laundering of funds in connection with Best Foods Ltd., under the PMLA.
The Directorate of Enforcement (ED) on Wednesday arrested insolvency professional Jitesh Gupta under the Prevention of Money Laundering Act (PMLA), 2002.
Gupta was appointed as the interim resolution professional and resolution professional for the Corporate Insolvency Resolution Process (CIRP) concerning Homestead Infrastructure Development Pvt. Ltd. and Golden Peacock Residence Pvt. Ltd.
The ED said Gupta was produced before the Special Court (PMLA), which remanded him to ED custody for further investigation into the alleged money laundering activities.
How the Best Foods investigation began
The ED probe was initiated after an FIR was registered by the Central Bureau of Investigation (CBI) against Best Foods Ltd under the relevant sections of the Indian Penal Code, 1860.
The CBI case also relied on provisions of the Prevention of Corruption Act, 1988, which created the underlying investigation through which the ED later examined suspected proceeds of crime.
The ED said Dinesh Gupta was in control of Best Foods Ltd and associated entities before allegedly siphoning off the loan funds through dummy and shell companies.
The agency said its investigation showed the transactions were used to launder proceeds of crime and resulted in further scrutiny of persons involved in related insolvency proceedings.
Jitesh Gupta’s role under ED scrutiny
The ED had claimed that Jitesh Gupta, while he was the IRP/RP, suo motu re-admitted the claims which he had earlier rejected as spurious and fraudulent.
The agency said the decision affected the makeup of the Committee of Creditors and the subsequent resolution process involving interests related to Best Foods.
The ED also alleged that Gupta helped file a Resolution Plan as a front for Dinesh Gupta and made the payment via an entity controlled by him.
Jitesh Gupta, too, recommended a person related to Dinesh Gupta as a possible resolution applicant during the resolution process, the agency said.
The ED said the National Company Law Tribunal (NCLT) had passed an order on September 9, 2025, recording adverse findings against Jitesh Gupta.
The Tribunal held that Gupta had gone beyond his powers in relying on false and wrongly filed documents and ordered his removal as Resolution Professional.
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Banking trail examined by Enforcement Directorate
The ED said its probe showed that Jitesh Gupta had received unexplained financial transactions from several people linked to Dinesh Gupta and Best Foods Ltd.
The agency also flagged transactions involving group entities linked to Best Foods Ltd., but said no legitimate consideration for those payments was found on record.
The ED said the evidence collected during the investigation shows that Jitesh Gupta had intentionally assisted activities connected to alleged proceeds of crime.
The alleged acts are under the ambit of Section 3 of the PMLA, 2002 relating to money laundering and punishable under Section 4, the agency said.
What happens next in the Best Foods case
The arrest of Jitesh Gupta will help the ED probe to move ahead as the agency is probing the financial transactions, insolvency proceedings and alleged connections between the people involved.
The ED custody given by the Special Court (PMLA) will enable the investigators to further interrogate the accused and probe more evidence in the alleged money laundering case.
The ED has not said it has completed its investigation, and further developments could depend on financial records, witness statements and other evidence gathered during proceedings.
Sprouts News will also keep reporting on the Best Foods Ltd. money laundering probe and the latest involving Jitesh Gupta, Dinesh Gupta, the ED, CBI and NCLT.





















