Benami dealers & rice mills at the core of illegal smuggling

Gadwal: The ration rice mafia, which had been silent for some time in the Gadwal district, is once again ramping up its illegal activities. Previously, these groups would collect rice from the public and run their operations. Now, however, they have adopted a new method by involving benami dealers. These dealers collect rice and transport it to rice mills, where a portion is handed over to the government under the Centralized Monitoring and Reporting (CMR) system. The remainder is smuggled across state borders in lorries and DCM trucks.

Allegations have surfaced that the very officers tasked with curbing this illicit activity, such as the police and enforcement officials, are cooperating with the mafia. Despite occasional cases being filed, the illegal trade continues unabated.

Reports suggest that vehicles caught at border checkpoints are released in exchange for bribes ranging from Rs 10,000 to Rs 10 lakhs, depending on the load. Certain routes are allegedly allowed to operate freely in exchange for monthly payments. A constable named Krishnayya was suspended on October 4 after accusations of supporting the ration rice mafia.

There are 333 ration shops in the Gadwal district, many of which lack regular dealers. As a result, a single individual often manages between three to five shops, with 54 currently serving as in-charge dealers. Many of these in-charges are benami operators who control the shops.

These benami operators bulk-purchase ration rice and transport it via DCM trucks to rice mills, often leasing an additional shop next to the ration shop to store the rice before shipping it out.

When contacted, Gadwal Circle Inspector (CI) Srinivasulu assured, “I have recently joined duty, and no matter how powerful the individuals involved in the ration rice mafia are, we will take strict action. We will establish a special task force to stop the illegal transportation of rice. The public is also urged not to sell their ration rice to anyone.”

Rice mills at the centre of operation

Meanwhile, rice mills in and around Gadwal town, as well as those near highways in the Alampur constituency, have become key hubs for this illicit trade. The mafia leases these mills, where rice brought from benami dealers is stockpiled and a portion of it is smuggled into Andhra Pradesh and Karnataka.

In the Jogulamba Gadwal district, cases continue to be filed against those involved in the smuggling. On October 1, 50 quintals of rice were seized from the Padmavathi Srinivas Rice Industry in the outskirts of Jinkalapalli village, and a case was registered. A day earlier, 130 quintals of rice were confiscated by Undavalli police. Recently, on the outskirts of Pothulupadu village in Manavapadu mandal, police seized 23 quintals of rice being smuggled across the border.