Six more people have been detained along with Mr Chaudhary, including a member of his staff who is a soldier in the Territorial Army.
They were carrying tablets of different brands in three vehicles towards Moreh, the border town, to be smuggled out to Myanmar were pseudoephedrine is in great demand as a speed drug. The vehicles were packed with tablets, to the roof.
Pseudoephedrine is used as a nasal decongestant. It is abused as a stimulant and causes the heartbeat and blood pressure to rise rapidly, promoting wakefullness and sudden burst of energy.
The Defence Ministry said it is examining the case.