The Enforcement Directorate (ED) on Wednesday attached two flats in Chennai, worth ₹2.04 crore, owned by G. Ranganathan and his family. Ranganathan is the promoter of Sresan Pharmaceuticals, the maker of ColdRif cough syrup linked to the death of at least 20 children in Madhya Pradesh. He was arrested by Madhya Pradesh Police in October. The ED said Sresan Pharma used unfair trade practices to lower manufacturing costs and increase profits. They used industry-grade instead of pharma-grade raw materials without proper quality checks. "Such materials were being purchased in cash without invoices to avoid creation of records," the ED said. Despite regular contact, Tamil Nadu Drugs Control officials did not conduct the required annual inspections as per Drug and Cosmetic Rules, the ED added. The ED launched a money laundering case after two FIRs were filed — one by Madhya Pradesh Police, the other by Tamil Nadu Police. The Madhya Pradesh FIR stated that ColdRif contained toxic glycol compounds causing acute kidney failure leading to children's deaths. Lab tests found high levels of Diethylene Glycol (DEG) and Ethylene Glycol (EG), far above safe limits. "The negligent and adulterated manufacturing practices adopted by Sresan Pharma manufacturer led to the poisoning of the cough syrup," the ED said quoting the police. The second FIR involved bribery charges against P U Karthikeyan, Director In-Charge of Tamil Nadu Food and Drug Administration, arrested by DVAC in July. Both states suspended drug inspectors and ordered closure of the company after the deaths.