Charges Filed Against Indian Chemical Companies
Two chemical companies based in Gujarat, India—Athos Chemicals and Raxuter Chemicals—have been indicted in the United States for allegedly importing precursor ingredients used in the production of fentanyl, a synthetic opioid responsible for thousands of overdose deaths. The charges, announced by the U.S. Department of Justice on Monday, include distributing and conspiring to distribute these ingredients.
Raxuter Chemicals and its senior executive, Bhavesh Lathiya, 36, face additional charges of smuggling and introducing misbranded drugs into interstate commerce.
Executive Arrested in New York
Lathiya was arrested in New York on Saturday and is being held without bail, with prosecutors arguing he is a flight risk and poses a danger to the community.
“The Justice Department is targeting every link in fentanyl trafficking supply chains that span countries and continents and too often end in tragedy in the United States,” said U.S. Attorney General Merrick Garland in a statement.
Neither Athos Chemicals nor Raxuter Chemicals responded to requests for comment, and Lathiya’s federal public defender has declined to provide a statement.
The Deadly Impact of Fentanyl
Fentanyl, a synthetic opioid that is 50 times more potent than heroin and 100 times more potent than morphine, has fueled the ongoing opioid crisis in the United States. According to the Centers for Disease Control and Prevention (CDC), opioids caused approximately 82,000 deaths in 2022, a tenfold increase since 1999.
Allegations of Concealment and Deception
Prosecutors allege that since February 2024, the companies and Lathiya knowingly supplied precursor chemicals used in fentanyl production and employed deceptive practices to hide their activities. These included mislabeling shipments, falsifying customs documents, and making false declarations at border crossings.
In one instance, an indictment revealed that Lathiya agreed to sell 20 kilograms of the precursor chemical 1-boc-4-piperidone to an undercover agent posing as a fentanyl manufacturer. During a video call in October 2024, Lathiya reportedly suggested mislabeling the shipment as an antacid to evade detection.
The undercover agent praised the quality of the chemicals and the “yield” of fentanyl they produced, further implicating Lathiya in the trafficking operation.
Connections to Mexico
A separate indictment claims Athos Chemicals agreed to sell 100 kilograms of the same chemical to a known drug trafficker in Mexico in February 2024. The trafficker was reportedly producing fentanyl as part of a larger drug trafficking organization.
Potential Penalties
If convicted, Lathiya faces up to 53 years in prison, according to the Justice Department. The case highlights the global reach of fentanyl trafficking networks and the U.S. government’s efforts to dismantle them at every level.
