O R D E R :

The present Writ Petition challenges the inaction of Respondents 1 and 2 in investigating a significant scam orchestrated by the 3rd respondent Telangana State Cooperative Oilseeds Growers Federation Limited. This scam involves the fraudulent transfer of Rs. 32 crores to a non-land owner from Andhra Pradesh, masquerading as an oil palm grower in Aswaraopeta factory zone. Despite multiple representations by the Petitioner Society, urging action, the official respondents failed to address the issue, violating the Telangana Oil Palm (Regulation of Production and Processing) Act, 1993 and the constitutional rights of the petitioner society's members under Articles 14 and 21.

2. Petitioner Society comprised of 1500 members engaged in oil palm cultivation, is registered under the Telangana Societies Registration Act, 2001, with Registration No. 168/2022, dated 23.09.2022, as evidenced by the attached certificate. Oil palm cultivation, a vital oilseed crop, is regulated by the Telangana Oil Palm (Regulation of Production and Processing) Act, 1993 (for short, ‘the Act’). This Act mandates procurement of all oil palm harvests by designated companies at government-determined prices. Section 11 designates Factory Zones for supply of oil palm fresh fruit bunches (FFB) to specified factories. Sub-section (2) explicitly states that growers within a factory zone must supply FFBs. only from plantations within that area. The 3rd respondent - Federation declared Aswaraopeta Factory Zone, encompassing Aswaraopeta and Apparaopeta factories, where members of the petitioner society supply FFBs. in accordance with the prescribed criteria.

Smt. Nandigama Rajitha, a resident of Eluru district, was paid Rs. 32 crores by the Federation for supply of around 32,000 MT of FFBs. between January 2020 and October 2021. However, investigations revealed that she was not listed as a palm oil farmer in Yerrupalem Mandal and does not own agricultural land for palm oil cultivation in Khammam district. It is stated that standard yield of oil palm plantations is approximately 11 metric tonnes (MT) of fresh fruit bunches per acre per year, with each MT fetching a price of Rs. 17,364/- during 2020-21. Therefore, for Smt. Nandigama Rajitha to purportedly deliver 32,000 MT of fruit, she would have needed to cultivate approximately 2900 acres of land, which is logistically impossible. This creation of a fictitious account in her name and the alleged influx of 32,000 MT of fresh fruit bunches has resulted in severe financial losses for genuine palm oil growers due to reduced prices for their produce.

It is further stated that upon discovering the apparent fraud, members of petitioner society organized protests, conducted dharnas, held press conferences, and submitted representations seeking a thorough investigation into the matter. Representation dated 30.12.2021 was also submitted to the 1st respondent, highlighting the significant scam involving transfer of substantial amounts to Smt. Nandigama Rajitha, including over Rs. 2.5 crores towards transportation charges. The representation urged auditing and inquiry into the issue to address the grievances of petitioner society.

Additionally, it is stated that in response to an Application filed under the Right to Information Act, 2005, seeking a copy of the audit report, the District Revenue Officer, Bhadradri Kothagudem District, confirmed that a five-member audit team conducted an audit under the directions of the Director of State Audit, Telangana, Hyderabad, vide Memo Roc.No. 0840/64/GKM/2022, dated 22.03.2022. Despite completion of audit, neither audit report has been furnished to petitioner nor made public and no action has been initiated against those responsible for the alleged scam.

3. This Court during the hearing on 11.01.2024, granted time to implead the land owner as party respondent. Pursuant thereto, I.A.No. 2 of 2024 was taken out to implead State of Telangana represented by the Principal Secretary in i