Rice mafia thrives in Hyderabad as PDS rice for BPL families sold in black market

According to reliable sources, the PDS mafia is paying protection money to rowdy sheeters every month alongside mamools (bribes) to patrolling teams.

Hyderabad: With the State government distributing three-month rice to below poverty line families through fair price shops, the rice mafia has reportedly become active in the city and outskirts.

There are reports of agents visiting slum areas which have a sizable population of BPL families, and collecting the rice from the food security card beneficiaries.

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“Due to some issues over the quality of rice, the beneficiaries have been selling it to the agents who visit their doorstep on scooters and auto-rickshaws. A kg of rice is now purchased for Rs. 19 as against Rs.10 earlier,” said Mohammed Sajid, (name changed) who has knowledge of the business.

Several ration shop dealers are also allegedly selling the rice to the agents at Rs. 18 a kg.

After collecting the rice, the agents are learnt to be storing it at some houses in residential areas. “It is later transported to Zaheerabad in trucks and auto trolleys where it is sold to big traders for Rs.28 a kg,” said Abdul Khadeer, (name changed) who is involved in the PDS rice business.

The transportation is done during late night hours to Zaheerabad and neighbouring mandals via the Outer Ring Road. “In a truck about 14 tonnes of rice is transported and the earnings per truck are between Rs.1,30,000 and Rs.1,50,000,” said Khadeer.

The rice from Zaheerabad is transported to other States. Previously, it was directly transported to Karnataka and Maharashtra but some big dealers are said to have taken control over the activity now. A few smugglers from the city send two trucks every week to the main dealers in Zaheerabad.

According to reliable sources, the PDS mafia is paying protection money to rowdy sheeters every month alongside mamools (bribes) to patrolling teams.

The local agents are employing youngsters by paying Rs. 500 a day and providing them with scooters to move around and collect the rice.

The PDS mafia is active particularly in areas of the Old city such as Falaknuma, Rein Bazaar, Bhavaninagar, Bahadurpura and its extension areas such as Rajendranagar, Mailardevpally, Attapur, Balapur, Pahadishareef, and Meerpet.

An official from the Hyderabad police said based on credible inputs they frequently conduct raids with assistance of Civil Supplies officials and seize the property.

“Every fortnight one or two cases are being registered for PDS rice smuggling,” said the official.