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Rs 1,160 crore rice diversion case widens, 56 mills and 22 ethanol plants under investigation

Authorities have expanded the alleged Rs 1,160 crore government rice diversion investigation, bringing 56 rice mills and 22 ethanol plants under scrutiny over suspected misuse of subsidised rice meant for ethanol production.

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Government agencies have widened their investigation into an alleged Rs 1,160 crore rice diversion case, bringing 56 private rice mills and 22 ethanol plants across 17 districts under scrutiny. The probe is focused on determining whether subsidised government rice allocated for ethanol production was diverted through private mills instead of being used for its intended purpose.

Investigation expands after truck found at private rice mill

The investigation began after a truck transporting government rice from a Food Corporation of India (FCI) warehouse to an ethanol plant was allegedly found inside a private rice mill. What initially appeared to be an isolated incident has now expanded into a multi-district probe involving 17 seized trucks, over 50 witness statements and multiple accused.

Authorities are trying to establish how much of the nearly 5 lakh metric tonnes of government rice supplied to ethanol plants was actually converted into ethanol and whether a portion of it was diverted before returning to government warehouses.

Alleged circular trade under investigation

Investigators suspect that subsidised rice supplied to ethanol plants at around Rs 2,320 per quintal may have been sold to private rice mill operators at higher prices instead of being processed into ethanol.

According to the investigation, the rice was allegedly repacked by private mills and deposited back into government warehouses as custom-milled rice. Officials are also examining whether the original paddy supplied for milling was sold separately in the open market or transported to other states, potentially allowing multiple profits from the same stock.

Authorities believe the alleged arrangement, if established, could have enabled financial gains at several stages while avoiding actual ethanol production.

Officials examining monitoring failures

The investigation is also looking into whether lapses in monitoring or possible collusion allowed government rice to re-enter official warehouses without proper verification.

Officials are checking whether rice previously released under the ethanol scheme was accepted again as newly milled stock through the custom milling system.

Police register FIR, arrest four accused

Balaghat Superintendent of Police Aditya Mishra said the case began after authorities received information about three trucks carrying government rice from FCI warehouses to the AVJ Agrico ethanol plant. During a joint inspection by Revenue, Food and Police officials, one truck was allegedly found inside Sancheti Rice Mill, leading to the registration of an FIR for cheating.

A Special Investigation Team (SIT) comprising 20 to 25 members was subsequently formed.

According to the police, investigators have so far:

  • Arrested four people
  • Identified more than 13 accused
  • Recorded statements of over 50 witnesses
  • Issued notices to 56 rice mills
  • Seized 17 trucks
  • Obtained non-bailable warrants against two individuals

Police said the investigation remains ongoing and further action will be taken based on new evidence.

Production records and transport data under verification

Investigators are comparing FCI dispatch records with ethanol production data, transport logs, warehouse receipts and custom milling records.

Authorities are also examining production capacity, electricity consumption, machinery usage and raw material records at ethanol plants to verify whether the quantity of rice supplied matches actual ethanol output.

Similar verification is underway at rice mills to determine whether their claimed milling operations correspond with electricity consumption, labour deployment and machinery records.

Use of fortified rice raises additional questions

The case has drawn additional attention because the grain under scrutiny was fortified rice, which is enriched with iron, folic acid and Vitamin B12 to help address anaemia and malnutrition among children, pregnant women and adolescent girls.

Investigators are examining why fortified rice was supplied for ethanol production when distilleries generally use broken rice as feedstock. They are also looking into whether FCI followed stock rotation norms while allocating rice under the scheme.

Collector sought wider scrutiny

Confidential communications from the Balaghat Collector reportedly recommended verification of whether rice released for ethanol production actually reached the designated plants. The Collector also sought scrutiny of the allocation process, transportation chain, utilisation certificates and the roles of FCI officials, ethanol companies, transporters and rice mill owners.

The investigation currently covers nearly 5 lakh metric tonnes (50 lakh quintals) of government rice, valued at approximately Rs 1,160 crore at the subsidised allocation price.

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Two election commissioners complained against senior poll officer, RTI reveals

An RTI response has shed light on complaints by two Election Commissioners against a senior poll panel officer and the Cabinet Secretariat’s decision not to intervene directly.

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An RTI response has brought fresh details to light about complaints submitted by two Election Commissioners against a senior official of the Election Commission of India (ECI), including the Cabinet Secretariat’s decision not to intervene directly in the matter.

Election Commissioners Sukhbir Singh Sandhu and Vivek Joshi wrote separate letters to Cabinet Secretary T V Somanathan on July 29, 2026, raising concerns about the working of Senior Deputy Election Commissioner Maneesh Garg.

The complaints followed an order concerning the allocation of responsibilities among senior officers in the poll panel. The Cabinet Secretariat subsequently acknowledged the communications and shared them with relevant offices, while noting that direct action could be inappropriate without an official communication from the Commission as a whole.

Why the two Election Commissioners raised concerns

The dispute centred on a work-allocation order issued on July 28, when Garg took temporary charge as the link officer for the Deputy Election Commissioner handling administration, who was on leave.

According to the complaints, Garg issued an order reallocating responsibilities among senior and equivalent-ranking officers without discussing the changes with the Commission or the officers concerned.

Sandhu reportedly objected that the revised allocation had been made without consultation, while Joshi stated that a file he requested from the Administration Division was not provided to him.

The two Commissioners also referred to previous instructions against making such changes without prior discussion or approval from the Commission.

Why the Cabinet Secretariat did not intervene

Records disclosed through the RTI process indicate that the Cabinet Secretariat considered the complaints but concluded that direct intervention could be inappropriate.

In its internal deliberations, the Secretariat noted that the Election Commission is a constitutional body designed to function independently of executive interference. It also observed that the letters had been sent by the two Commissioners in their individual capacities rather than as an official communication from the Commission collectively.

The Secretariat therefore considered it appropriate to acknowledge the letters and inform the Chief Election Commissioner’s office, rather than take direct action against the official.

The Department of Personnel and Training was also informed so that the matter could be placed on record for future consideration concerning the officer.

What happened after the complaints

The Cabinet Secretariat’s records show that internal discussions took place on August 3 and August 4. The Cabinet Secretary acknowledged the two letters on August 5 and forwarded the matter to the relevant offices.

The Election Commission had also issued a clarification on September 26, stating that the dispute did not concern a policy matter or the Commission’s IT division, but the functioning of an officer posted to the poll panel.

The Commission said the work-reallocation orders were not implemented following directions from the two Commissioners and that oversight of the IT division had not actually been withdrawn.

The RTI disclosures provide an official record of how the complaints were handled by the Cabinet Secretariat, while also highlighting the institutional considerations involved in deciding whether the executive should intervene in the functioning of a constitutional body.

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Punjab strike hits public services as 3 lakh employees and roadways workers protest

Punjab is facing disruption to government work and public transport as over three lakh government employees participate in a mass leave protest and roadways workers continue their strike over pending demands.

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Public services in Punjab have been affected as government employees and transport workers continue their agitation over long-pending demands. The protests involve a mass casual leave programme by more than three lakh government employees and a separate strike by workers associated with state-run transport services.

The agitation has disrupted government office operations and public bus services, adding to the pressure on the Punjab government to address employees’ grievances.

Why Punjab government employees are protesting

Government employees have been pressing for the release of pending dearness allowance (DA) instalments and arrears, restoration of the Old Pension Scheme (OPS), regularisation of contractual workers and resolution of pay-related issues.

The demands also cover service conditions and benefits for workers employed across different government departments. Employee organisations have called for concrete decisions on these matters, arguing that several issues remain unresolved despite discussions with the state government.

The mass casual leave programme has affected the functioning of government offices and administrative establishments across the state.

Roadways workers’ strike affects bus services

Separately, workers associated with Punjab Roadways, PUNBUS and the Punjab Road Transport Corporation (PRTC) have continued their agitation over employment-related demands.

The transport workers’ protest has affected the availability of public buses, creating difficulties for commuters who depend on state-run services for their daily travel.

The transport workers’ demands include regularisation under applicable service rules, changes to employment arrangements for outsourced workers and action on cases linked to previous protests.

The government employees’ agitation and the transport workers’ strike are separate actions, although both concern outstanding demands and the state government’s response to employee organisations.

Talks fail to resolve the deadlock

Discussions between employee representatives and the state government have so far failed to produce a comprehensive resolution to the dispute.

Employee organisations have continued to seek assurances and concrete action on their demands. The continuation of the agitation reflects the lack of an agreement that would persuade the protesting groups to withdraw their actions.

The dispute has also placed the state government under pressure to restore normal public services while addressing the concerns raised by government staff and transport workers.

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Amit Shah says congress won’t return to power for 30 years

Union Home Minister Amit Shah took a swipe at Rahul Gandhi over the Opposition’s vote theft allegations, asserting that the Congress would not return to power for the next 30 years.

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Union Home Minister Amit Shah on Thursday launched a fresh attack on Congress leader Rahul Gandhi, questioning the Opposition’s allegations of vote theft and asserting that the Congress would not return to power for the next 30 years.

Addressing an event in New Delhi, Shah criticised Gandhi over his absence from the country and challenged the Congress’s objections to the Election Commission of India (ECI), arguing that the party accepted the electoral process when it won elections but questioned it after defeats.

The remarks came during an event related to projects for the rejuvenation of the Yamuna, where Shah also targeted the Congress and the Aam Aadmi Party (AAP) over their political record in Delhi.

Amit Shah’s warning to Rahul Gandhi

Taking a dig at Gandhi over his reported foreign visit, Shah said the Congress leader would have to remember his words when he returned to Delhi.

The Home Minister argued that the Congress’s political setbacks had begun long before Narendra Modi became Prime Minister and said the party could not attribute its electoral losses solely to allegations of irregularities in elections.

Shah also defended his confidence in the BJP’s electoral prospects, contrasting his prediction of the party remaining in power with the Congress’s prospects under its current political approach.

He asserted that the Congress would not get another opportunity to form a government for the next 30 years. The statement was a political prediction made by Shah, rather than an established electoral outcome.

Shah questions Congress over vote theft allegations

Shah accused the Congress and other Opposition parties of adopting inconsistent positions on the Election Commission, depending on whether election results favoured them.

Citing electoral victories in states including Kerala, Telangana and Himachal Pradesh, he argued that the Congress and its allies had accepted the electoral process when they won.

He questioned why the same institutions and electoral arrangements became subjects of criticism when the Opposition lost elections.

Shah also targeted the Opposition’s protests against alleged electoral irregularities and the Special Intensive Revision (SIR) of electoral rolls. He alleged that the Congress was using vote theft claims to protect the votes of infiltrators.

These were allegations made by the Home Minister and should be understood as his political assertions, not as independently established findings.

Amit Shah targets Opposition’s protest strategy

The Home Minister also criticised the Opposition’s demonstrations in Delhi, arguing that protests could not overturn the public mandate.

He said political parties seeking electoral victories should engage with people and address their concerns rather than rely on demonstrations and allegations against constitutional institutions.

Shah further accused the Opposition of applying different standards to court decisions, suggesting that it welcomed judgments in its favour while questioning those that went against it.

His remarks came amid continuing political disagreements over the electoral process and the Opposition’s criticism of the Election Commission.

Yamuna projects and attack on AAP

During the same event, Shah inaugurated and laid the foundation stones for 43 Delhi Jal Board projects worth Rs. 8,941 crore, aimed at improving wastewater treatment, drinking water infrastructure and the rejuvenation of the Yamuna.

He criticised previous governments in Delhi over the river’s pollution and accused the Congress and AAP of failing to address the problem adequately.

Shah also targeted AAP national convenor Arvind Kejriwal, arguing that political parties should be judged by their performance rather than their explanations for failing to deliver results.

He said the BJP would work towards cleaning the Yamuna and improving water and sewerage infrastructure in the national capital.

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