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2 Nagarkurnool Millers Booked For PDS Scam, Mills Shut

The fraudsters Sriramulu and Mallesh had been reselling the Rs 1 per kg rice being supplied via PDS ration shops, to the Civil Supplies Department.
Hyderabad | 5th January 2018
A scam where the state government's prestigious scheme of supplying rice to the poor at Rs 1 per kg via ration shops was being misused by some fraudsters who were selling the same PDS rice to the Civil Supplies Department was uncovered recently.

Due to a shortage of stock in the supply pool, the government floated tenders to purchase six lakh metric tons of raw rice for the PDS and 1.5 lakh metric tons of fine rice for government hostels, the mid-day meal scheme and other social welfare schemes run by the state, from millers. However, some millers had been taking advantage of the situation by recycling the PDS rice and selling it back to the government.

Upon receipt of the bizarre information from the Enforcement Vigilance wing, Civil Supplies Commissioner C V Anand had ordered a special raid on godowns. In these raids, irregularities were noticed in Mahabubnagar and Sircilla districts. It was found that while in Sircilla district some of the rice millers were offering poor quality rice to the government, the rice that was stored in the Jadcherla CWC godown in Mahabubnagar district was taken from two PDS mills in Nagarkurnool district.

The rice, which was PDS, was taken from ration shops, recycled and sold again to the government. 1,080 (50 kg) bags of PDS rice of an estimated cost of Rs 15 lakhs were found. Sriramulu of Srinivasa Rice Mill and Mallesh of Venkateswara Rice Mill from Nagarkurnool were found to be involved in this illegal sale. The accused had avoided detection by mixing fine rice with the recycled PDS rice.

Taking serious note of the incident, the Commissioner ordered severe action to be taken against the millers involved in the fraud. While a godown in-charge was removed from service immediately, criminal cases were filed against Sriramulu and Mallesh, and their mills blacklisted. Purchase of state pool rice from mills in Nagarkurnool has also been suspended for now.

Berating the State Rice Millers Association for not keeping a check on the millers, the Commissioner threatened to stop milling charges and other payments to them. He wanted to know that when the department was working with them in the spirit of mutual trust, what made the millers violate rules and go back to old practices.

Warning rice millers of serious consequences for attempting malpractice, the Commissioner said that they would be booked under the PD Act and sent to jail.

He also added that inspections would be made more stringent at the CWC and SWC godowns where the Civil Supplies Department stocks are stored.
filed in:  Telangana, Ration Shops, Scams, Crime, Telangana Crime, Civil Supplies, Civil Supplies Scam, Fraud
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