Acting on a tip-off, the CID conducted a raid at the oil mill in Gobindapur Bazar and arrested its 51-year-old owner, a police officer said.
The CID seized an oil tanker loaded with 19.695 MT refine palmoline oil, a vehicle and other items from the mill, he said.
"The accused used to mix mustard and palm oil and sell it as a product of a popular branded and also in his own brand name. We are checking the involvement of others," the officer said, adding the investigation is underway.
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