Praveen Reddy Key Accused in Nursery Scam

Oil Fed Officials Held Responsible for Faulty Oil Palm Saplings

Article Today, Hyderabad:
Farmers have raised serious concerns over the distribution of substandard oil palm saplings that have severely affected their livelihoods. They squarely blamed Oil Fed officials for knowingly distributing genetically defective plants. The issue came under formal investigation by the National Commission for Scheduled Tribes (NCST) at the Dilkusha Guest House in Hyderabad on Monday.

Commission Probes Farmers’ Complaints
The commission, led by member Jatoth Hussain, questioned several officials during the hearing. Key attendees included Horticulture Director Yasmin Basha, Oil Fed Managing Director Shankarayya, and Deputy Manager Praveen Reddy. Agriculture Secretary Raghunandan Rao, citing a cabinet meeting, was unable to attend but sent prior intimation. Representing the farmers, Uma Maheshwar Reddy, president of the Aswaraopet Oil Palm Growers Association, and tribal farmer Sriramulu presented their grievances before the commission.

Genetically Defective Saplings Ruined Farmers’ Dreams
Farmers told the commission that their dreams of improving their financial conditions through oil palm cultivation were shattered by the supply of genetically defective saplings. They dismissed the officials’ argument that poor farm management caused reduced yields. Uma Maheshwar Reddy stressed that the primary reason for their losses was the poor-quality saplings. He further alleged that the nurseries ignored the standards set by the Indian Institute of Oil Palm Research (IIOPR). The farmers claimed this was not mere negligence but a deliberate act to deceive them.

Praveen Reddy’s Pivotal Role in the Scam
The farmers pointed to Praveen Reddy as the central figure in the Aswaraopet nursery scam. They alleged that as Oil Fed’s Deputy Manager, he played a crucial role in procuring nearly one crore saplings between 2021 and 2024. During this period, Surender served as the Oil Fed’s Managing Director. Farmers also named a middleman, Ranganayakulu, who reportedly had strong ties with seed suppliers across countries and worked closely with top government officials to push low-quality saplings into Aswaraopet nurseries. They claimed that Praveen Reddy also facilitated undue support to the pre-unique company involved in the process.

Pre-Unique Company’s Dubious Involvement
According to the farmers, seven districts in Telangana were allotted to the Pre-Unique Company, but the firm failed to establish even a single processing plant in its assigned zones. Strangely, the company was allowed to supervise Oil Fed’s factory constructions, repairs, and daily crushing activities. Farmers alleged that this arrangement concealed a major scam. They claimed Pre-Unique (India) Pvt Ltd, with Malaysian backing, influenced Oil Fed to import seed sprouts from Malaysia. Farmers also alleged that Oil Fed officials had close ties with the company.

Large-Scale Genetic Defects Identified
The farmers revealed that saplings from Aswaraopet and Regalapadu nurseries showed significant defects. None of the saplings from specific batches were fit for planting. Reports confirmed that about three lakh saplings of the ‘Temba’ variety were genetically weak. All these saplings reportedly came from Oil Fed nurseries in the Bhadradri Kothagudem region.

Allegations of Deliberate Sabotage
Farmers accused the officials of intentionally distributing defective saplings to reduce oil recovery rates and overall production. They claimed this was part of a larger conspiracy to damage the operations of Oil Fed factories in Aswaraopet and Apparaopet, which have capacities of 30 tonnes and 90 tonnes respectively. They alleged that private oil palm companies colluded in this scheme, as oil palm fruit collection prices in Telangana and Andhra Pradesh are determined based on oil recovery rates from these factories.

Officials Struggle to Answer Commission
During the hearing, Oil Fed officials failed to provide satisfactory answers. When Praveen Reddy attempted to mislead the inquiry, commission member Jatoth Hussain sternly interrupted him, demanding direct responses. Even senior officials reportedly struggled to defend their actions. Hussain warned that playing with the lives of tribal farmers would not be tolerated. He directed the officials to submit a detailed report on the irregularities within one month.

Farmers Demand Justice and Compensation
Farmers urged the formation of a four-member expert committee with experience in oil palm plantations to assess the affected areas and verify the quality of saplings. They requested a thorough audit of all Oil Fed nursery activities since 2016 to trace the origin of defective plants. Farmers demanded stringent action against Oil Fed employees and contractors responsible for the losses. They also sought compensation of ₹1 lakh per acre for farmers whose plantations are older than four years and insisted that substandard saplings in younger plantations be replaced at Oil Fed’s expense, along with maintenance support for four years. Farmers made it clear that this is not just a case of administrative failure but a calculated fraud that devastated their lives and livelihoods.

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