Karnataka shells out a bitter price for sugar, green gram purchase

During February and March this year, the government paid Rs 60.12 per kg while purchasing a bulk of 2.10 lakh quintals.

Update: 2017-03-30 21:51 GMT
Green Gram

Bengaluru: Under the state government’s Anna Bhagya Yojana, it has come to light that lakhs of quintals of green gram and sugar has been purchased by the Food and Civil Supplies Department at much higher rates than market prices.

 In his fresh expose, RTI activist Bheemappa Gadad has found that, 2.10 lakh quintals of green gram has been bought for Rs 23 crores by the government, paying at least Rs 10 higher per kilogram.

During February and March this year, the government paid Rs 60.12 per kg while purchasing a bulk of 2.10 lakh quintals. “Details of purchase of green gram and sugar under Anna Bhagya Yojana by the government has been posted clearly on the government website showing the rates at which they were bought in February and March. It is shocking to note that the suppliers have been paid much higher by the government compared to the rates in the market,'' says Mr Gadad.

The green gram meant for supply to BPL card holders did not cost more than Rs 38 to 45 per kg in the market when the deal was struck, but the government purchased the same quantity paying a minimum of Rs 10 more on every kg. It means, the officials misappropriated Rs 21.04 crores of public money to buy 2.10 lakh quintals of green gram, he claimed.

Similar misappropriation of funds took place in the purchase of sugar by the government during February and March, he says, while stating that the good quality (M-Grade) sugar which is available in the market at Rs 38 per kg has been bought by the government through tenders by paying at least Rs 5 more per kg. In January 88,320 quintals of sugar was purchased which amounts to a misappropriation of Rs 1.59 crore. Demanding a high-level inquiry by the Central Audit and Accounts Department, Mr Gadad urged the government to expose  officials involved in looting public money.    

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