V&E Inspections Detect 1.90 Lakh Quintals Paddy Diversion in Telangana

The inspections revealed that more than 1.90 lakh quintals of paddy and about 1.72 lakh bags were found diverted or short, resulting in a financial loss exceeding Rs.60 crore to the State Exchequer

By :  M Srinivas
Update: 2026-01-13 13:20 GMT
The Vigilance and Enforcement (V&E) department carried out simultaneous inspections of 19 rice mills covering nine districts in the State. (Photo: By Arrangement)

Hyderabad: Close to 2 lakh quintals of paddy worth over ₹60 crore, meant for the Public Distribution System (PDS), was found diverted across Telangana during a coordinated operation by the Vigilance and Enforcement Department on January 12.

Officials said about 1.72 lakh bags were diverted by rice millers. Of the 19 rice mills inspected across nine districts, 14 were found involved in serious irregularities including diversion, shortage and misappropriation of Custom Milled Rice (CMR) stock. “Five mills were issued notices and placed under close surveillance for violations of record maintenance and statutory requirements,” director general Shikha Goel said.

Based on the findings, multiple criminal cases are being registered against defaulting millers. The civil supplies department has been asked to recover government losses, cancel licences, blacklist errant mills and initiate prosecution under relevant laws. Show‑cause notices have also been issued wherever record‑keeping violations were detected.

A total of eight teams carried out the raids. The officials detected diversion worth ₹15.91 crore in Narayanpet district alone, where paddy was missing from two mills. In Kamareddy and Nizamabad districts, shortages worth about ₹19.73 crore were found.

In Suryapet district, diversion of government paddy worth about ₹19.32 crore was established. In Peddapalli district, shortages worth about ₹11.38 crore were detected. In Mahbubabad district, diversion worth about ₹4.86 crore was found, while in Rangareddy district, diversion of CMR stock valued at about ₹88 lakh was reported.


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