Paddy stocks worth Rs 2,200 crore diverted in Telangana
Vigilance and enforcement raids on nearly 300 rice mills across 26 districts detected a shortfall of 8.73 lakh metric tonnes of paddy.
The vigilance and enforcement department has detected the diversion of 8.73 lakh metric tonnes (LMT) of paddy worth Rs 2,200 crore in Telangana, according to the Deccan Chronicle. The shortfall, identified during raids on nearly 300 rice mills across 26 districts since mid-July, includes more than 4 LMT intended for custom milling rice (CMR) and the rest earmarked for auctions.
Officials stated that Rs 1,500 crore has been recovered from millers regarding the detected deficit. A higher official told the Deccan Chronicle that an investigation into shortages in CMR and auction bidding led to the discovery of the Rs 2,200 crore shortfall.
Suryapet recorded the highest value of diverted paddy at Rs 430 crore, while Nizamabad and Nirmal followed with Rs 245 crore and Rs 230 crore respectively. Authorities found that millers in these areas had illegally sold the stocks.
Vigilance officials arrested 25 accused, primarily rice millers, under the Essential Commodities Act and the Bharatiya Nyaya Sanhita (BNS) for criminal breach of trust. The investigation also noted lapses by civil supplies department officials in monitoring allocated stocks.
Separate inspections by the civil supplies department, Enforcement Task Force (ETF), and legal metrology department targeted retail and wholesale rice businesses due to price manipulation concerns. Between October 29 and 31, the civil supplies department filed 11 FIRs and took legal action against 18 trading entities in Hyderabad and Ranga Reddy districts.
During these inspections, officials found traders selling 25-kg rice bags labelled as 26 kg and some establishments using stickers to hide original prices. Several businesses were also found operating without mandatory licences, including GST, labour, or Food Safety and Standards Authority of India (FSSAI) permits.