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Telangana CID registers three cases over Sanna Rakam rice diversion; 14 millers arrested

Hyderabad, Oct 25 (UNI) The Telangana Police Crime Investigation Department (CID) has registered three criminal cases and arrested 14 rice millers over alleged irregularities in the supply of Sanna Rakam (fine) rice to the Food Corporation of India (FCI) during the Kharif 2025–26 season.
The CID took up the investigation following a complaint lodged by the General Manager (Procurement) of the Telangana Civil Supplies Corporation on October 24, 2026.
According to preliminary information, the State procured 71.86 lakh metric tonnes of paddy during the Kharif season against a target of 59.60 lakh metric tonnes of rice for delivery to the FCI. Certain millers allegedly diverted the allotted Sanna Rakam paddy to the open market and supplied cheaper coarse rice, including rice allegedly sourced from outside Telangana, in its place.
Inspections by Enforcement and Task Force (ETF) teams, followed by laboratory tests, reportedly found that rice samples supplied in the cases examined did not conform to the Sanna Rakam variety specified in the allotments. The alleged substitution raises concerns over violations of the Custom Milled Rice (CMR) agreement and potential financial losses to the State exchequer.
In Nizamabad, Karimnagar and Mulugu districts, 16 rice mills reportedly supplied 3,385.820 metric tonnes of coarse rice, known as Doddu Rakam, against Sanna Rakam allotments. The estimated loss arising from the bonus component in these deliveries is around Rs 1.69 crore.
The authorities had also allocated 45,414.833 metric tonnes of paddy for conversion, involving a potential bonus-related financial implication of approximately Rs 242 crore. However, timely intervention by Civil Supplies officials and orders halting further processing reportedly prevented additional potential losses.
The CID said the alleged substitution prima facie indicated violations of the Kharif Marketing Season (KMS) 2025–26 CMR agreement, criminal breach of trust, wrongful gain and conspiracy to cause loss to the government exchequer.
The investigation is underway to establish the alleged diversion and substitution of rice varieties, determine the roles of the millers concerned, examine how allotments and conversion requests were processed, and collect documentary, technical and other evidence. Investigators will also quantify the actual financial loss and probe possible involvement of officials and other persons, as well as any criminal conspiracy or other offences, a CID release said on Sunday.
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