36,000 tonnes PDS rice diverted to the open market

Most of the diversion is taking place at godowns

Update: 2015-07-13 01:15 GMT
Representational image

Hyderabad: Nearly 36,000 tonne of rice per month meant for public distribution system (PDS) through ration shops (out of 1.80 lakh MTs supplied in Telangana), is getting diverted to the open market. Most of the diversion is taking place at godowns.

An inquiry by the vigilance and enforcement department, ordered by the civil supplies department, has revealed that PDS dealers are diverting the rice of unused and bogus cardholders.

To counter this, the government has decided to install GPS in all vehicles transporting PDS rice from godowns to ration shops.

Civil supplies minister Etela Rajender had ordered a “secret probe” by the vigilance department to inquire into the PDS rice diversion.

In its report, the department stated that nearly 20 per cent of the total PDS stocks in Telangana was being diverted to rice mills in the state and neighbouring states.

This rice is being recycled and sold in open market for higher profits. The inquiry found that there were nearly 300 benami ration dealers, mostly in Hyderabad and RR districts, who were resorting to diversion of PDS rice.

Following this, the civil supplies department started a crackdown on benami ration dealers and has sealed about 40 ration shops so far.

“The stern action against benami ration dealers has already helped us to check five per cent PDS rice diversion. We are now focusing on unused cards and bogus cardholders to check diversion of another 15 per cent rice... Already 10 lakh bogus cards have been identified and cancelled,” said Mr Rajender.

In GHMC limits alone, nearly 40 out of 90 shops were found to be run by benamis. There are nine circles of the Civil Supplies department in the city and each circle has nearly nine benami shops.

The government has also decided to issue smart cards to dealers to check benamis. The biometrics of the original dealers will be taken and essential commodities will be delivered only on submission of the smart cards at PDS godowns.

The project was implemented on a pilot basis in Nalgonda in 2013 by the government of undivided AP. The TS government now wants to extend the facility to all districts.

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