Two more rice mills have reportedly been found to be involved in the alleged embezzlement of government paddy worth Rs 7 crore. The scam was unearthed in July and investigations are already against two mills.
Some employees of Markfed Punjab are also facing legal action in the case.
Officials from the Punjab State Cooperative Supply and Markfed have written to Moga SSP Kanwaljeet Singh Dhillon for registration of criminal case against Goyal Rice and General Mill's owner Kewal Krishan and Amit Kumar, owner of the Gaurav Rice and General Mill of Dharamkot.
The SSP has confirmed that the millers had allegedly embezzled paddy worth Rs 7.08 crore, stored in their mills at Dharamkot.
Akshar Kumar had lodged two complaints with the police alleging that senior officials of the department had found that Gill Rice and General Mill and Joga Agro Industry at Killi Chalahan road in Chuhar Chak had failed to account for government paddy.
More than six mills are yet to submit their milled rice to the government with the Food Corporation of India (FCI).
On July 31, 2013, a team of Markfed officials headed by Dharamkot branch manager Mool Chand conducted physical verification of various rice mills of Dharamkot sub-division.
Sources added that in the first case, Goyal Rice and General Mill Dharamkot was provided 1,26,688 bags (44340.80 quintals) of paddy for custom milling for 2012-13 and it was found that the rice mill owner had embezzled 43,006 bags (15,052.10 quintals) of paddy. Markfed faced a loss of Rs 2.79 crore due to this.
The agency awarded 1,28,206 bags (44872.10 quintales) of paddy to Gaurav Rice and General Mill for milling. During physical verification, it was found that 66,332 bags (23,216.10 quintals) of paddy was misappropriated by the miller, a loss of Rs 4.30 crore.
SSP Kanwaljeet Singh Dhillon said that two special investigation teams had been formed to look into the matter.
"We have received the inquiry reports and a case will be registered soon."