Rice mills in Nirmal and Asifabad under scanner for diverting paddy worth Rs. 300 cr
Eighteen rice mills in Nirmal and Kumram Bheem Asifabad districts were booked for diverting custom milled rice worth Rs 300 crore from the 2022–23 Yasangi season. Officials found large irregularities, including mills opening new units to continue receiving paddy
Published Date - 20 November 2025, 07:39 PM
Nirmal/Kumram Bheem Asifabad: Rice mills continue to divert paddy handed over by the government for custom milling by adopting new methods, even as cases are being booked against errant units.
In the latest instance, eighteen mills were booked for allegedly failing to return custom milled rice worth Rs 300 crore belonging to the 2022–23 Yasangi season. These mills had already been seized for misappropriating grains, compromising the milling process and bringing disrepute to the government.
A total of 48 mills received 1.58 lakh metric tonnes of paddy for CMR during 2022–23. The government expected 1.06 lakh metric tonnes of CMR rice, but only 6,000 metric tonnes were returned. The mills are yet to hand over the remaining 1 lakh metric tonnes, valued at Rs 300 crore.
Owners of several mills are reportedly opening new units in the names of their relatives to continue receiving paddy for milling. Their actions are seen as an attempt to push pending cases aside and secure large profits. Farmers have urged officials to curb the irregularities committed by millers.
It is learnt that officials hastily shifted paddy from procurement centres to the mills to expedite procurement. “The mills that had already begun CMR processing easily diverted the grains following fresh arrivals. They are backed by public representatives and certain greedy officials,” a source said.
Meanwhile, 17,275 quintals of paddy worth Rs 4.46 crore were diverted by a mill at Venkatraopet village in Sirpur (T) mandal of Kumram Bheem Asifabad district. A mill in Koutala mandal and another in Adilabad Rural mandal were found to have misappropriated paddy valued at Rs 3.5 crore an