Govt threatens to invoke Essential Commodities

Hyderabad, July 30: The State Government gave a stern warning to all the rice and red gram wholesale merchants in the State that if they do not release the illegal stocks they were hoarding into the open market they would invoke the Essential Commodities Act in the State from August 1.

The State Government suspects that a section of the wholesale merchants were creating an artificial scarcity in the market by hoarding huge stocks of rice and red gram.

The Civil supplies Department would conduct a statelevel meeting with all the district- level officers in Hyderabad on July 31 and an action plan for conducting raids across the State to control the prices would be prepared. The official would register cases under Section 6(A), 7 of the Essential Commodities Act.

These Sections would attract a jail sentence upto seven years. If need be, the State Government would invoke the provisions under the PD Act against the merchants.

Meanwhile, the Civil Supplies Department is planning to supply one kg red gram at Rs 56 to all the white card holders in the State. This experiment was successful in Medak district with the help of the District Dal Merchants Association. Nearly one lakh white card holders have benefitted in Sangareddy, Siddipet and Zaheerabad in Medak district. The department would hold talks with Statelevel merchants association representatives in a day or two. Minister for Civil Supplies J Krishna Rao told reporters that for the last two months, the department seized Rs 195 crore worth rice which was illegally stored in the State. He also informed that nearly 1,600 cases have been registered against the merchants. The Government is bearing Rs 500 crore subsidy on red gram and edible oil besides rice subsidy of Rs 3,500 crore, he added “The State Government is committed to control the prices,’’ the minister said and added that if the officials fail to discharge their duties they would also face serious action.

–Agencies–