Hyderabad: The Enforcement Directorate raided eight locations in Hyderabad on July 30 under the Prevention of Money Laundering Act. The action targeted widespread financial fraud in Telangana’s Sheep Rearing Development Scheme.
Investigators searched the residence of G. Kalyan Kumar, Officer on Special Duty to former Animal Husbandry Minister Thalasani Srinivasa Yadav. They also covered addresses linked to beneficiaries and middlemen flagged in the investigation.
The case stems from FIRs filed by the Anti-Corruption Bureau. One accused the ex-minister’s aide of breaking into a department office and removing official records. Another FIR, filed by a sheep supplier, alleged ₹2.1 crore was diverted from dues into unrelated accounts by assistant directors.
Moreover, a CAG audit for the year ending March 2021 exposed serious irregularities in seven districts. Officials failed to maintain beneficiary data. Invoices listed non-transport vehicles. Duplicate tags were issued. Several sheep units were assigned to fake or deceased recipients. The audit estimated losses at ₹253.93 crore. Extrapolated statewide, losses could exceed ₹1,000 crore.
ED teams discovered large transfers to individuals with no background in sheep supply. Crucially, they found no record of any sale or purchase of livestock. The money trail pointed to bogus vendors. Recycled sheep units were used repeatedly to draw government funds.
Additionally, raids led to the seizure of bank documents, including blank cheques, passbooks, and debit cards tied to over 200 suspected mule accounts. Many of these were linked to an illegal betting application. Officials also recovered 31 mobile phones and more than 20 SIM cards used in the suspected fraud network.
For now, the investigation remains in progress.
