[Adopted from an original series of comments]
In general its never a good idea to start with a modified physics equation and work forward unless you really have deep understanding of physics (and even then!). Its usually best to start with the effect (a short-range gravitational-like attraction between mass) and work forward from there to avoid breaking physics. In analogy, this sounds a bit like asking the appropriate amount of money banks should add to everyone's bank account so the whole world would be rich...both economics and physics are complicated and very mathematically intense; changing one fundamental thing to produce a certain desired effect has the tendency to change everything in strange and unusual ways.
PcMan raised the issues of decoupling gravitational mass and inertial mass. To elaborate, since the phlebotinum (p) violated the equivalence principle, it nullifies general relativity. The stress-energy tensor and Einstein tensor no longer share the same relations through curvature since the p-mass is "bending" space more than its mass would allow. This alone breaks a fundamental pillar of physics, but its a little deeper than that. See my answer here where I discuss mass's relationship to momentum and energy.
This means that special relativity must be corrected, and so must the relativistic dispersion relationship because at this point we have to decide between inertial mass-energy and gravitational mass-energy since this distinction now determines the dispersion relationship in a gravitational field vs. any other field. This means that the mass-energy conservation is broken and this implies a breaking of time translation symmetry! Clearly this is a problem (spontaneous breaking of ground state symmetries leads to a whole slew of issues), so relativity and the dispersion relationship would have to be rescued, but how? This would require reformulating physics!
Even with the given prompt, the problem is compounded by the notation that the acceleration of p-mass on Earth would be 9.81 m/s$^2$ multiplied by the y-factor! For example, y is only a factor of 1000, the p-matter's gravitational acceleration would be 9810 m/s$^2$, while its effects on surrounding matter would not be noticeable (~ 0.000000001 N at a meter on a kilo of regular matter)! Lets suppose y is 10, the material would still be launched towards Earth's surface with an acceleration of about 91 m/s$^2$! However, a gram of p-mass would only exert a gravitational pull of 6.67$\cdot$10$^{-11}$ N on another gram of matter at a distance of a millimeter. Weaponizing this substance would essentially boil down to dropping it with explosive results. Constructing a container that could stand such pressures could be a challenge. Even more dangerous is that our gravity/inertia masses are decoupled for which we have no intuitive knowledge, for example, its easy to role a ball of it across a table but it falls with explosive force if pushed over the edge!
In conclusion, simple changes to fundamental equations rarely leads anything desirable, but usually brings lots of undesirable side-effects.