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<p data-start="72" data-end="274"><span style="font-family: georgia, palatino, serif; font-size: 12pt;">The Enforcement Directorate (ED) has uncovered what it suspects to be a massive scam in Telangana's Sheep Rearing Development Scheme (SRDS), estimating financial irregularities may exceed ₹1,000 crore.</span></p>
<p data-start="276" data-end="637"><span style="font-family: georgia, palatino, serif; font-size: 12pt;">On July 30, the Hyderabad Zonal Office of the ED conducted search operations at eight locations under the Prevention of Money Laundering Act (PMLA), 2002. The raids included the residence of G. Kalyan Kumar, Officer on Special Duty (OSD) to former Animal Husbandry Minister T. Srinivasa Yadav, and several alleged middlemen and beneficiaries linked to the scam.</span></p>
<p data-start="639" data-end="1079"><span style="font-family: georgia, palatino, serif; font-size: 12pt;">According to the ED, incriminating evidence recovered during the raids pointed to kickbacks being paid to officials and illegal diversions of government funds. Documents found included records related to over 200 suspicious bank accounts, blank chequebooks, debit cards, and items linked to an illegal online betting operation. The agency also seized 31 mobile phones and more than 20 SIM cards suspected to be used in illegal transactions.</span></p>
<p data-start="1081" data-end="1435"><span style="font-family: georgia, palatino, serif; font-size: 12pt;">The ED launched the investigation following FIRs filed by the Anti-Corruption Bureau (ACB). One FIR alleged that Kalyan Kumar forcibly removed official records from the department&rsquo;s office after a change in government. Another FIR accused department officials of siphoning off ₹2.1 crore meant for sheep suppliers by redirecting it to unrelated accounts.</span></p>
<p data-start="1437" data-end="1961"><span style="font-family: georgia, palatino, serif; font-size: 12pt;">A Comptroller and Auditor General (CAG) audit report for the period ending March 2021 flagged major issues in the scheme&rsquo;s implementation in 7 out of Telangana&rsquo;s 33 districts. These included lack of beneficiary data, fake transport invoices, non-transport vehicles being billed for transportation, duplicate ear tags for sheep, and allocations to deceased or non-existent persons. The estimated loss in these districts was ₹253.93 crore. On extrapolation, the ED estimates the total state-wide loss could cross ₹1,000 crore.</span></p>
<p data-start="1963" data-end="2354" data-is-last-node="" data-is-only-node=""><span style="font-family: georgia, palatino, serif; font-size: 12pt;">The probe revealed that substantial government funds were transferred to individuals and entities claiming to supply sheep, though many had no history in livestock trade prior to the scheme. The ED believes many of these vendors were bogus and that no actual supply of sheep took place. Funds were allegedly recycled and fake transactions made to fraudulently claim payouts under the scheme.</span><br><br><span style="font-family: georgia, palatino, serif; font-size: 12pt;">[Except for the headline, this article has not been edited by the Benefit News editorial team and is published directly from the IANS news feed]</span></p>
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Telangana Sheep Scam May Exceed ₹1,000 Crore

ED uncovers massive fraud in sheep scheme, fake vendors, illegal funds diversion exposed

Telangana Sheep Scam May Exceed ₹1,000 Crore

ED uncovers massive fraud in sheep scheme, fake vendors, illegal funds diversion exposed

August 1, 2025 | 23:41 IST