Sheep Rearing Scheme Under Scrutiny: ED Uncovers Massive Money Laundering in Telangana

The Enforcement Directorate (ED) announced on Friday the seizure of financial documents, including passbooks, debit cards, and cheque books, from over 200 'mule' bank accounts. These accounts are implicated in a money laundering investigation linked to a sheep rearing scam in Telangana, and associated with an illegal betting application, according to ED.

The probe, stemming from Telangana Police Anti-Corruption Bureau FIRs, has revealed alleged government official kickbacks and massive fund misappropriation tied to the Sheep Rearing Development Scheme (SRDS) launched in 2017 by the former Bharat Rashtra Samithi government. The ED conducted raids at multiple locations connected to beneficiaries and alleged middlemen involved in the scam.

The CAG audit highlighted widespread irregularities, such as fake invoices and non-existent beneficiaries, estimating a government loss of Rs 253.93 crore across seven districts. The ED claims the loss could exceed Rs 1,000 crore statewide and continues to examine extensive evidence, including mobile phones and SIM cards seized during their investigation.

(With inputs from agencies.)