Rice allocation ‘scam’: CBI books FCI ex-officials, three companies

The CBI has registered an FIR against former officials of the Food Corporation of India (FCI), Delhi Region, officials of the North Eastern Regional Agricultural Marketing Corporation Ltd (NERAMAC), private traders and public servants in connection with an alleged conspiracy involving the allocation and lifting of rice under the open market sale scheme (domestic), causing a wrongful losses of Rs 28.87 crore to the FCI.

The case, registered by the CBI’s Anti-Corruption unit last week, names eight accused persons, including two companies based in Assam and another in Kolkata. According to the FIR, FCI Delhi Region allegedly allotted a total of 62,000 metric tonnes of rice to NERAMAC under the category sale of rice to state government/corporations of state governments under OMSS (D) 2025-26.

Of this, around 50,645 metric tonnes was lifted by NERAMAC at a concessional rate of Rs 23,200 per metric tonne. The FIR states that the prevailing reserve price of rice was Rs 28,900 per metric tonne. It alleges that NERAMAC, being a government of India-owned enterprise, was not eligible for such allocation without e-auction under the OMSS(D) policy dated July 10, 2025.

According to the CBI, only state governments and corporations of state governments were eligible for allocation without e-auction. The agency has alleged that if the quantity lifted by NERAMAC at the concessional price had been sold through auction at the reserve price, the FCI would have realised an additional Rs 28.87 crore.

The complaint was forwarded to the CBI by Rizwan Ahmed, Section Officer (Vigilance), Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution, along with reports of a Neutral Committee and FCI’s vigilance wing.

The Neutral Committee had been constituted to examine the allotment of rice to NERAMAC by FCI’s Delhi Region. NERAMAC had sought allocation of 31,000 MT of rice per week under OMSS (D), the FIR says, adding that the rice was meant to ensure availability at affordable rates to the public, daily-wage earners, labourers, migrant workers in Delhi, and persons not covered under the public distribution system due to non-availability of ration cards.

However, the CBI has alleged that the rice was not distributed for the stated purpose. Instead private entities and traders were allegedly used in the lifting and further sale of the rice, the FIR said. The FIR alleges that the rice was not distributed to the intended beneficiaries but traders in Delhi-NCR were allegedly asked to lift it from FCI depots after depositing money at Rs 23.25 per kg into NERAMAC’s bank account and paying commission ranging from Rs 0.64 to Rs 2.50 per kg.

According to the FIR, the funds were remitted in advance into NERAMAC’s bank account and later transferred to FCI Delhi Region for allocation and release of rice after deducting administrative charges at 5 paise per kg. The rice was lifted from FCI depots at Ghevra, Mayapuri and Narela, the FIR says.

The CBI has alleged that the traders further sold the rice to other traders, earning huge profits.