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Delhi FCI’s Rice Allocation to NERAMAC Under Scrutiny

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News Analysis IndiaReporter
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September 1, 2026
06:02 AM
Delhi FCI’s Rice Allocation to NERAMAC Under Scrutiny

New Delhi, September 1 – The Central Bureau of Investigation (CBI) has taken up a case involving the Food Corporation of India’s Delhi region and its allocation of rice to the North Eastern Regional Agricultural Marketing Corporation Ltd (NERAMAC). The matter came to light after a vigilance report filed in June identified discrepancies in the Open Market Sale Scheme (OMSS).

The report indicated that FCI allotted a total of 62,000 metric tonnes of rice to NERAMAC, but only 50,645 metric tonnes were actually taken by the corporation. The price paid was INR 23,200 per tonne, markedly lower than the prevailing market and reserve price of INR 28,900 per tonne.

Regulations stipulate that discounted allocations without an electronic auction are only permissible for state governments and their corporations. NERAMAC, being a central government‑owned company, was not eligible for such a concession. Moreover, the payment for the rice was siphoned through a series of private entities—grain millers and wholesale dealers—rather than being transferred directly to NERAMAC.

The audit could not locate any records proving that the rice reached the beneficiaries under the public distribution system, nor was the FIFO (First‑In‑First‑Out) rule applied to the stock. The vigilance analysis estimates the government may have incurred a loss of about INR 28.87 crore. The CBI has now launched a comprehensive investigation to uncover the extent of the alleged fraud.

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