Telangana officials sniff huge scam in Primary Agriculture Cooperative Society
Hyderabad: In what could be a mega scam unfolding in farmers’ debt waiver scheme, officials of the TS cooperation department have stumbled upon siphoning of funds by fudging figures in a Primary Agriculture Cooperative Society.
The officials suspect a Rs 5 crore fraud in the Chennaraopet society in Warangal district alone, and believe that a detailed audit of all 904 PACS could unearth a bigger scam.
Sources told DC that a preliminary audit report of the fraud in PACS was sent to agriculture and cooperation department secretary C. Parthasarathy for necessary action. An inquiry into the fraud was conducted following a complaint by local MCPI leader M. Ashok, son of veteran MCPI leader M. Omkar.
Initially, the preliminary inquiry termed the scam as “procedural lapses.”
Dissatisfied, deputy secretary D.V. Rao deputed another senior official to conduct a detailed probe. The official went through cash, loan account books, ledgers and conducted random checks.
The official found several irregularities in construction of a compound wall and office cum shopping complex costing Rs 48 lakh, which was enhanced by another Rs 20 lakh without any justification and without calling tenders.
Finding something amiss in PACS, the official probed the Chief Minister’s Rs 17,000 crore debt waiver scheme for farmers where short-term loan principal and interest amounts were waived as part of the electoral promise.
In the PACS books, principal amount and interest amounts were fudged, jacking up amounts of Rs 2,000 and Rs 3,000 to Rs 12,000 and Rs 13,000 etc. There are 5,000 claimants for the debt waiver scheme out of the 8,000 members.
Sources told this newspaper that about Rs 5 crore was misappropriated out of the total claim of Rs 22 crore (principal and interest amounts).
“It was random verification of two loan ledgers and the department audit found grave irregularities. Such fraud could be replicated in other PACS too. It’s just tip of the iceberg. There is a need for complete verification of all PACS in the state. Two officials are under scanner,” an official said.
When contacted, Mr Parthasarathy said they are looking into the matter.
The government had so far released Rs 12,375.18 crore under the farm loan waiver scheme and promised to clear the balance Rs 4,624 crore next year.
