Top

PDS rice smuggled to liquor factories

Tons of diverted rice is fermented to make liquor
Hyderabad: A new nexus between Public Distribution System (PDS) rice smugglers and illegal liquor manufacturers in the state has come to light. Tons of diverted PDS rice is allegedly being smuggled to private liquor factories in different districts, where it is fermented to make liquor. The racketeers get more money from the manufacturers than they would get in the open market.
Apart from diverting hundreds of tons of rice from godowns and mandal level stock points, the racketeers also employ agents to collect rice from ration card holders. Sources say dealers and Civil Supply department employees are also in on the scam.
Earlier this week, a Special Operation Team chased down two trucks en route to Karimnagar. The trucks carried 340 quintal of PDS rice. During questioning, one of the accused revealed that the rice was being smuggled to a firm named Haritha Bio Seeds Pvt Ltd at Parlapalli village in Karimnagar. On further questioning, the suspect revealed that the rice would be fermented to make liquor.
In the past, PDS rice was usually smuggled to poultry farms at Kakinada, and the Mumbai and Gujarat ports, from where it was exported to foreign countries. A portion of the rice also turned up in the regular market for a higher price.
“This is the first time that we have come to know that smugglers are taking the rice to liquor manufacturers. However, after interrogation, we believe that this has been going on for a while and a large quantity of PDS rice has been used in liquor factories since the manufacturers get it for a cheaper price," said Mr E. Rama Chandra Reddy, SOT chief from Cyberabad. He added that this was a win-win situation for both PDS racketeers and the manufacturers.
Meanwhile Karimnagar police officials said that there were no legal liquor factories in the district, and the firm mentioned by the arrested person must be an illegal one that manufactured liquor covertly. "Once we get an intimation from Cyberabad police, we will investigate the matter," said Karimnagar SP Joel Davis.
Officials suspect that not only in Karimnagar, but in other districts in AP, Telangana, and Maharashtra too, liquor manufacturers are actively buying PDS rice.
According to the police, about 600 metric tonnes of subsidised rice is stolen every month from Telangana and sold in national and international markets by the racketeers, causing hundreds of crores of losses to the state government.
No system in check to curb malpractices:
The massive scams in PDS rice -- in which subsidized rice meant for the poor is clandestinely diverted to open market -- are taking place right under the nose of the civil supplies department and vigilance officials. They are either looking the other way or are not effectively intervening to stem the rot.
State police says they busted large numbers of PDS rice stock diversions, though this was not their primary job, while the vigilance department remained less active. If Civil Supplies authorities and Vigilance officials put in a little more effort, not even a single kg of rice can be diverted or stolen from the PDS scheme, say senior police officials.
Despite big talks by the Civil Supplies Department, no serious steps to curb PDS rice racket has been taken by it. For instance, no truck carrying the rice bags has GPS, and no bio-metric system is in place.
When Cyberabad police busted a racket in July this year, it came to light that Civil Supplies employees from assistant manager level down to the technical and other staff as also in-charge at mandal level were hand-in-glove with rice smugglers and traders in the state.
They helped divert the rice for the poor for sale in the open market, it is said.
Often these rackets are detected by the police during vehicle checking and at times based on tip-off. However, the Vigilance department is yet to come up with a Standard Operating Procedure (SOP) to initiate a crackdown on the racket.
( Source : deccan chronicle )
Next Story