- Palm oil farmers accuse Oilfed officials of corruption, favoritism, and misuse of public money
- Serious Corruption Allegations Surface
Article Today, Hyderabad:
A major corruption controversy now centers on Telangana Oilfed, with accusations that several key officials looted crores of rupees through various fraudulent practices. Palm oil farmers are raising their voices, stating that the organization is being systematically destroyed. The Ashwaraopet Zone Oil Palm Growers Society has formally complained to the Central Government. In a letter to the Union Ministry of Agriculture and Farmers Welfare, the Society made shocking accusations, exposing the alleged corruption and conspiracies inside Oilfed. Society President Umamaheshwar Reddy and Secretary Pullayya revealed these details.
Favouritism Towards Pre-Unique Company
Although 14 private companies were allotted oil palm zones in Telangana, none of them built factories so far. Only Oilfed has set up factories. However, serious allegations are made against a company named Pre-Unique. Despite of not constructing any factory on its own, this company is said to have taken over Oilfed’s major works through manipulations.

It is alleged that Pre-Unique easily grabbed the Narumetta factory tender and bagged projects worth nearly Rs. 400 crores from Oilfed. According to the Ashwaraopet Society, around ten major projects were awarded to this single company. It is also claimed that former senior Oilfed officials made decisions that directly favored Pre-Unique. The Society called this one of the biggest scams, saying that top officers involved swallowed crores of rupees.
Even though another company, Japro, quoted a lower price in the Narumetta factory tender, technical reasons were wrongly used to favor Pre-Unique. Farmers say this was a planned conspiracy to loot public money.
Wasteful Bio-Mass Power Plants
Oilfed’s investment in bio-mass power plants has also come under fire. In 2022, a bio-mass plant was built at Apparaopet, and in 2024, another plant worth Rs. 40 crores was set up at Ashwaraopet. Shockingly, the new plant operated for just seven days before closing due to a shortage of raw material. Farmers say this project was a total misuse of public funds.
They also pointed out that burning the processed fiber in these plants is causing serious environmental pollution. Even when the Society suggested using the fiber as organic fertilizer, Oilfed ignored the advice. According to Society leaders Umamaheshwar Reddy and Pullayya, instead of wasting Rs. 40 crores on the bio-mass plant, the funds could have been used to build an 8-MW solar power plant, which would have produced electricity continuously throughout the year.
Failed Water Purification Plants…
The water purification and bottling plants built by Oilfed in Shivaramapalli of Rangareddy district and Apparaopet of Bhadradri district stand as examples of the organization’s inefficiency. These plants eventually shut down, and now the process of giving them on lease through tenders has begun, which the farmers call a disgraceful step. The Society strongly criticized the tender notice issued on December 18 last year for the automated plant at Shivaramapalli. They warned that if the Central and State Governments fail to act quickly on these widespread irregularities, palm oil farmers will face severe losses.
In Tomorrow’s Edition
Sudhakar Reddy’s powers were curtailed….. ED and OSD were deployed to control him….. and he was shamefully transferred to Narmetta…… The transfer was stopped due to protest….