Acting on a tip-off that gold was being smuggled, a team of customs sleuths tried to intercept a boat moving in a suspicious manner off Pamban coast.
However, on seeing the officials, the occupants of the boat dumped the gold biscuits in the sea and fled the spot.
The authorities then recovered the water can carrying 40 pieces of gold biscuits, customs officials said.
Investigation is on, they added.
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