WhatsApp Orders, PhonePe Payments Under Scanner in ₹10 Crore E-Cigarette Trade Probe
he probe began after Telangana’s EAGLE Force and Kushaiguda police conducted a joint raid at The Smoke Shop in Sainikpuri. Officials seized 39 banned e-cigarettes and arrested two persons in connection with the alleged sale.
Hyderabad : WhatsApp orders, PhonePe transactions and app-based deliveries have emerged as key leads in an investigation into an alleged interstate trade in banned e-cigarettes involving transactions exceeding ₹10 crore.
The probe began after Telangana’s EAGLE Force and Kushaiguda police conducted a joint raid at The Smoke Shop in Sainikpuri. Officials seized 39 banned e-cigarettes and arrested two persons in connection with the alleged sale.
According to investigators, the outlet allegedly advertised e-cigarette brands through WhatsApp and collected payments using PhonePe. The payment scanner was linked to a Canara Bank account in Kasaragod, Kerala. Delivery records reportedly showed 26 deliveries through Rapido since August 3. Investigators are also examining references to Porter and Uber, although their involvement or knowledge of the goods has not been established.
Officials said the shop allegedly sold three to four e-cigarettes daily and identified around 45 Hyderabad consumers who reportedly purchased products from the outlet.
Bengaluru Link Under Investigation
The arrested persons were identified as Ubais (20), the shop owner, and his cousin Ussainar PH (19), who worked at the outlet. Both are natives of Kerala and were residing in Sainikpuri.
Police suspect that Arshad, a Kerala native, supplied the products. Ubais had reportedly worked at Smoke View on Bengaluru’s MG Road before opening the Hyderabad outlet. Investigators allege that he purchased e-cigarettes worth ₹50,000 from Arshad in July 2026 and obtained another consignment in September. Arshad remains absconding.
Authorities are examining financial transactions exceeding ₹10 crore linked to the wider suspected network across Kerala and Karnataka to identify suppliers and beneficiaries. The amount relates to the broader investigation, not the Sainikpuri seizure alone.
