₹28.49-Crore Rice Row: How Subsidised Grain Meant for Labourers Allegedly Reached Traders

The CBI has registered an FIR alleging that subsidised rice intended for daily-wage earners, labourers and migrant workers in Delhi was diverted to private traders through an alleged nexus involving Food Corporation of India (FCI), North Eastern Regional Agricultural Marketing Corporation (NERAMAC) officials and private entities.

According to the FIR, NERAMAC sought rice under the Open Market Sale Scheme (Domestic) 2025-26, saying it would ensure affordable supplies for vulnerable consumers, including people without ration cards. FCI Delhi subsequently allocated about 62,000 metric tonnes between April 13 and May 15.

The CBI alleges that NERAMAC was not eligible for allocation without e-auction because the policy permitted such concessional supplies only to state governments and their corporations. Despite this, officials allegedly processed the proposal with “undue haste”. Rice was supplied at ₹23,200 per metric tonne, against a reserve price cited in the FIR, resulting in an estimated ₹28.49 crore loss to FCI, according to the agency.

NERAMAC allegedly became an intermediary rather than a direct distribution channel. Its managing director signed three MoUs with private entities as channel partners. The CBI alleges that these firms then contacted traders, who deposited about ₹23.25 per kg into NERAMAC’s account. The entities allegedly earned commissions ranging from 64 paise to ₹2.50 per kg.

The traders allegedly lifted the rice from FCI depots and resold it to other traders for profit, instead of ensuring supplies reached the intended beneficiaries. The agency alleges that the arrangement converted a welfare-oriented allocation into a commercial trading chain.

The CBI has also alleged that NERAMAC records contained purportedly false distribution charts and backdated appointment letters. These records allegedly created the appearance that rice had been distributed through retail outlets in Delhi and Noida to eligible consumers. The FIR alleges that 23 sub-distributors were shown through antedated appointment documents.

The agency has alleged a criminal conspiracy involving public officials, private entities and traders, causing wrongful loss to FCI and corresponding wrongful gains. The allegations remain subject to investigation and judicial scrutiny.