Tue Nov 11,
Guntur: A major scandal has erupted involving the Cotton Corporation of India (CCI), with serious allegations of collusion between its procurement officials and ginning mill owners in Andhra Pradesh. The irregularities, centered in Bapatla, Jaggayyapeta, Sattenapalle, and Ibrahimpatnam (spanning Guntur, NTR, and Palnadu districts), have triggered complaints to the Union ministry of textiles, CCI headquarters, and the prime minister's office (PMO).
The Central Bureau of Investigation (CBI) is expected to swing into action to probe the multi-crore scam. Curiously, CCI appointed ginners were found readying huge quantities of stocks for transport even before procurement from the farmers picked up pace.
Sources reveal that ginners are allegedly purchasing substandard, moisture-laden cotton at low prices from farmers and getting them packed to transfer to the CCI. Sources said that ginning mill owners are believed to have gone on overdrive only with the backing of CCI officials. Instead of ensuring quality, officials reported to have promised the ginning mill operators to certify the low-grade cotton—mixed with inferior varieties—as premium stock. This cotton is then stored in godowns without proper quality checks, leading to further degradation and significant financial losses to the corporation.
The scam has severely impacted farmers, who are forced to sell their produce to middlemen at below-market rates, while mill owners allegedly profit by supplying substandard bales at CCI's expense. The procurement centers in question have become hubs of malpractice, with officials allegedly favoring select mill owners in exchange for undue benefits.
Whistleblowers and farmer organisations have played a key role in exposing the racket. Detailed complaints highlighting the irregularities have prompted the Union textile ministry to seek a comprehensive report from CCI. Insiders suggest that the scale of fraud runs into crores of rupees, with systematic manipulation of procurement records and quality certifications.
The involvement of senior CCI officials has raised concerns about oversight and accountability within the corporation. The scandal has also cast a shadow over the govt's efforts to ensure fair prices for cotton farmers through CCI's minimum support price (MSP) operations. With the matter now under the CBI's radar, a formal investigation is likely to be launched soon. The probe is expected to scrutinize procurement records, godown inspections, and financial transactions linked to the implicated centers. Surprisingly, the CCI officials have been facing similar charges for the past several years and failed to restrain themselves despite facing cases from the CBI. The cotton procurement from the farmers has become a big money-spinning operation for the CCI officials in AP.