Archive · 27 Aug 2026
Kurnool Orders Probe Into Alleged Subsidised Groundnut Seed Scam
The government was supposed to give selected farmers free groundnut seeds.
The seeds were distributed in parts of Kurnool and Nandyal districts.
Some people allege that officials recorded seeds as given to farmers who did not grow groundnuts.
They also allege that fingerprints and beneficiary information were used to support those records.
Genuine farmers said they were turned away because the seed supply was shown as finished.
Officials said some seed kernels may have been sold.
The district administration has created teams to investigate what happened.
Some farmers worry that the investigation may not be independent if district officials were involved.
Alleged irregularities surfaced in subsidised ‘Visishta’ groundnut seed distribution under the National Food Security Mission.
The seeds were intended for selected farmers across 20 mandals in Kurnool and Nandyal districts with full subsidy.
Officials allegedly recorded non-groundnut farmers as beneficiaries and uploaded their details and fingerprints on the e-Krishi app.
Genuine farmers reportedly found that the allotted stock had already been distributed when they sought seeds.
Inspection teams have been formed, while farmers are seeking an independent inquiry into the allegations.
- Who
- The Kurnool district administration, agriculture officials, farmers, and inspection teams are involved.
- What
- An inquiry was ordered into alleged irregularities and possible sale of subsidised ‘Visishta’ groundnut seed kernels.
- When
- The allegations came to light after genuine farmers sought seeds; the articles do not give a specific date.
- Where
- Across 20 mandals in Kurnool and Nandyal districts, with alleged sales reported in Kurnool district.
- Why
- The inquiry was ordered after allegations that seed distributions were falsely recorded and that subsidised kernels were sold.
Departmental Investigation
Independent Probe
Who should investigate
Departmental Investigation
Kurnool officials, including the district administration and agriculture department, say inspection teams will verify the allegations and take action against anyone found responsible.
Independent Probe
Farmers, including M. Narayana Reddy, argue that an independent inquiry is needed if district-level officials may be involved.
Status of the allegations
Departmental Investigation
Officials have acknowledged receiving information about alleged sales and say the claims are being investigated; responsibility has not yet been established.
Independent Probe
Farmers and sources allege that distribution records were manipulated, subsidised kernels were sold, and stocks were moved to conceal irregularities.
- Scheme
- National Food Security Mission (NFSM)
- Seed variety
- ‘Visishta’ groundnut seed kernels
- Subsidy
- 100 per cent
- Coverage
- 20 mandals in Kurnool and Nandyal districts
- Alleged value
- Around ₹4 crore worth of kernels allegedly sold in Kurnool district alone
- Investigation
- Inspection teams were constituted by the Kurnool district administration
- Concern
- Farmers questioned whether a departmental inquiry would be impartial if district-level officials were involved