Could the Telangana sheep distribution scam be worth over Rs 1,000 crore?
Click to start listening
Synopsis
The Enforcement Directorate's investigation into the Telangana Sheep Rearing Development Scheme has unveiled shocking financial irregularities potentially exceeding Rs 1,000 crore. With key figures implicated and extensive evidence of fraud, the unfolding details reveal a scandal that raises serious questions about governance and accountability.
Key Takeaways
- ED estimates financial discrepancies in SRDS could exceed Rs 1,000 crore.
- Search operations led to the discovery of incriminating material and evidence of kickbacks.
- Substantial funds were transferred to bogus vendors in the scheme.
- The CAG's audit highlighted serious irregularities in fund management.
- Accountability and transparency are essential in government initiatives.
Hyderabad, Aug 1 (NationPress) The Enforcement Directorate (ED) has revealed that the financial discrepancies related to the implementation of the Sheep Rearing Development Scheme (SRDS) in Telangana might surpass Rs 1,000 crore.
On July 30, the ED's Hyderabad Zonal Office executed search operations at eight locations in the city under the Prevention of Money Laundering Act (PMLA), 2002.
These searches targeted the premises of G. Kalyan Kumar, the Officer on Special Duty (OSD) to former Animal Husbandry Minister T. Srinivasa Yadav, along with certain middlemen and beneficiaries identified during the ED's investigation, as stated by the agency on Friday (August 1).
The operations uncovered incriminating materials that suggested illegal kickbacks were funneled to various government officials and other individuals.
Additionally, documents linked to numerous bank accounts, including blank cheque books, passbooks, and debit cards associated with over 200 suspected dummy/mule accounts tied to an illegal online betting platform, were seized from one location.
The searches also resulted in the confiscation of 31 used mobile phones and over 20 SIM cards, believed to have been used in facilitating these illegal activities.
The ED's investigation into the SRDS was prompted by FIRs filed by the Anti-Corruption Bureau, Hyderabad. One FIR claimed that after the new government took office, the OSD to the ex-minister unlawfully removed records from the department.
Another FIR was lodged by a sheep merchant alleging that Rs 2.1 crore, owed to them for supplying sheep units, was embezzled by departmental assistant directors, who diverted the funds to unrelated accounts.
Moreover, the Comptroller and Auditor General (CAG) of India's Audit Report for the period ending March 2021 highlighted serious irregularities in the SRDS scheme, such as inadequate beneficiary details, improper record-keeping of invoices, payments against fraudulent invoices, and the allocation of sheep units to deceased or nonexistent individuals.
The CAG's audit report focused on only seven districts (out of 33 in Telangana), estimating a loss of Rs 253.93 crore. Proportionally, the total loss across all districts in Telangana could exceed Rs 1,000 crore, according to the ED.
Further investigations showed that substantial funds were unlawfully transferred to bank accounts of multiple individuals/entities under the guise of sheep supply payments for beneficiaries of the SRDS. It was discovered that before the scheme's implementation, the beneficiaries were not engaged in the sheep sale and supply business.
Additionally, it was found that no actual sheep sales or purchases occurred among these fund recipients, indicating that government funds were illicitly directed to the accounts of fictitious vendors.
The ED's inquiry corroborated the audit findings, revealing payments made to nonexistent vendors and evidence of the illegal recycling of sheep units to fraudulently claim government disbursements without the actual supply of sheep.
Point of View
I believe the findings from the ED's investigation into the Telangana Sheep Rearing Development Scheme highlight a pressing need for accountability and transparency in government initiatives. The substantial sums involved in these alleged scams are not just numbers; they represent a significant loss to public resources meant for developmental purposes. Upholding integrity in governance is crucial for restoring public trust.
NationPress
08/10/2025
Frequently Asked Questions
What is the Telangana Sheep Rearing Development Scheme?
The Telangana Sheep Rearing Development Scheme (SRDS) is an initiative aimed at promoting sheep rearing in Telangana, providing financial assistance to beneficiaries for the purchase of sheep units.
How much money is involved in the alleged scam?
The Enforcement Directorate estimates that the financial irregularities in the implementation of the SRDS may exceed Rs 1,000 crore.
Who is being investigated in the case?
The investigation involves several officials, including G. Kalyan Kumar, the OSD to the former Animal Husbandry Minister, as well as various beneficiaries and middlemen.
What evidence has been found?
Evidence includes incriminating documents, bank account details, and mobile phones linked to illegal activities, as well as allegations of kickbacks to government officials.
What are the implications of the CAG's audit report?
The CAG's audit report has indicated multiple irregularities, suggesting potential losses to the government and raising questions about the management of the scheme.
