Two rice millers arrested over ₹24.18 crore custom-milled rice diversion
Two rice millers were arrested by the Sultanabad police on Monday for allegedly failing to deliver custom-milled rice (CMR) to the government, resulting in an estimated loss of ₹24.18 crore to the State exchequer, police said.
The arrested persons were identified as Renikunta Madhu, 46, and R. Ravinder Reddy, 48, both residents of Vallampatla village in Rajanna Sircilla district. They are managing partners of Lakshmi Industries, a rice mill located in Suglampalli village under the Sulthanabad mandal.
According to the police, the accused were allotted paddy for milling during the 2023-24 crop year under the custom milling scheme. Under this scheme, the Telangana State Civil Supplies Corporation Limited (TGSCSCL) provides paddy to registered rice mills, which are then obligated to return the milled rice to the government for public distribution and other welfare programmes. The millers allegedly failed to hand over the rice as required, leading to a substantial financial loss to the government.
The arrests followed a detailed investigation into a complaint lodged by the district manager of TGSCSCL. Peddapalli Deputy Commissioner of Police B. Ram Reddy, while producing the accused before the media at Sultanabad police station, said stringent action would be taken against those involved in the diversion of government rice.
Custom milling is a critical component of the state's food security system, ensuring that paddy procured from farmers is processed into rice and made available to beneficiaries through ration shops. Any diversion of this rice undermines public distribution and results in significant monetary losses to the exchequer.
Police have registered a case and further investigation is underway to ascertain whether more individuals were involved in the alleged diversion. The accused were produced before a local court, which remanded them to judicial custody.
This incident highlights the ongoing challenges in monitoring and enforcing compliance among rice mills participating in government procurement and milling programmes. Authorities have reiterated their commitment to safeguarding government resources and taking decisive action against any irregularities.
