Kochi: The National Investigation Agency (NIA) has told a special court that it is investigating a larger criminal conspiracy involving a Talikoti-based firm in Karnataka in connection with the seizure of a massive cache of explosives from Kerala's Malappuram district earlier this year.

The case relates to the recovery of 89,600 gelatin sticks and 1.05 lakh non-electric detonators from a lorry concealed beneath sacks of onions at Tirurangadi in Malappuram on February 7, 2026.

Mantagound Biradar (35), from Bijapur, Karnataka, and Bapagoud Bheeramaya Choudri (47), from Talikoti, recently moved the NIA court in Kochi seeking anticipatory bail after the agency initiated steps to question them.

According to the NIA, the two men own Chetan Enterprises, the firm that supplied the seized explosives. The agency said Biradar had purchased the explosives from Tamil Nadu-based manufacturers Vetrivel Explosives and Trident Explosives.

NIA alleges barcode tampering to conceal trail

The agency told the court that its investigation found barcode labels on the explosive packages had been deliberately removed or tampered with to hide their source, ownership and movement.

During a search of Chetan Enterprises' explosives magazine in Talikoti, investigators recovered live detonators along with tampered barcode labels.

In its submission, the NIA said these findings pointed to a larger criminal conspiracy and prima facie indicated the illegal handling and trafficking of explosive substances. It argued that custodial interrogation of the petitioners was necessary to trace the source, movement and intended use of the explosives.

The agency further told the court that the evidence collected during the investigation prima facie showed the petitioners' involvement in the alleged conspiracy and suggested the existence of a wider network behind the offence.

Defence cites licences and legal purchase

Counsel for the petitioners argued that they were licensed explosives dealers who had legally purchased the materials from authorised manufacturers.

The defence contended that their possession of the explosives was lawful and, therefore, offences under Sections 4 and 5 of the Explosive Substances Act were not attracted. At most, the allegations amounted to violations under the Explosives Act, 1884, which are bailable, it argued.

The petitioners also produced tax invoices, the firm's registration certificate and licences issued by the Joint Chief Controller of Explosives, South Circle, Chennai.

The NIA, however, maintained that the deliberate removal and destruction of barcode labels amounted to an attempt to destroy material evidence and defeat the regulatory tracking mechanism. It said this required a detailed investigation into the alleged larger conspiracy.

Court cites missing e-way bill, rejects anticipatory bail

During the proceedings, the court directed the petitioners to produce the GST e-way bill relating to the consignment. They failed to do so.

Observing this, the court said the failure to produce the e-way bill indicated that the explosives had been sold to unauthorised persons without proper documentation.

"The failure on the part of the petitioners to produce the e-way bill issued by them shows that the petitioners have sold the explosives to unauthorised persons without bills. The fact that the explosive materials were found concealed under onion bags without the labels required under the rules makes it clear that the petitioners sold them illegally," the court observed.

The NIA also alleged that the investigation uncovered fabricated records intended to show the explosives had been sold elsewhere and subsequently used in blasting operations.

According to the agency, documents were created to indicate that Chetan Enterprises sold the explosives, including the boxes bearing barcode labels, to Sai Traders on February 2, 2026, with records showing the consignment reached its destination the same day.

The agency further alleged that additional records were fabricated to show the explosives were later sold to licensed blaster Meteti Pradeepa Kumar on February 15 and had been used for blasting. However, the NIA said the same explosives had already been seized in Malappuram on February 7.

It also informed the court that Prakash Biradar, brother of petitioner Mantagound Biradar, is a partner in Sai Traders. The agency further submitted that Mantagound Biradar had previously been involved in a similar offence.

Court says custodial interrogation necessary

After hearing both sides and examining the case records, Special Judge PK Mohandas held that custodial interrogation of the petitioners was necessary for an effective investigation.

"The first petitioner is involved in a similar offence on an earlier occasion also. Considering all the facts and circumstances of the case, I am of the view that this is not a fit case in which pre-arrest bail can be granted to the petitioners," the court said while dismissing their anticipatory bail pleas on June 29.

Meanwhile, another Karnataka resident, Sanganagouda Biradar (32), also approached the court seeking anticipatory bail.

The NIA informed the court that he had only been served with a notice and had not been named as an accused. It said his role, if any, would become clear only after questioning the accused and witnesses, and that there was no proposal to arrest him at present.

Recording the agency's submission, the court disposed of his petition and directed that, if he is later made an accused, the investigating officer must issue him a notice before taking any further action.

Earlier, Kerala Police had arrested three people accused of transporting the explosives into the state. They were subsequently granted bail by the Kerala High Court.

The NIA took over the investigation in April 2026, citing the large quantity of explosives seized.