The issue began after TDB cancelled an ongoing e-tender, in which lowest bidder had quoted ₹369 per litre, and instead purchased 1.65 lakh litres of ghee from Milma at ₹510 per litre. A preliminary inquiry later raised questions over procurement process, alleged financial loss of ₹2.27 crore, discrepancies in the supply and accounting of over 1.61 lakh litres of ghee.