Social activist accuses Munde of ₹162-cr scam in agri equipment purchase

Munde denies Damania's ₹161.68 crore scam allegations in fertilizer procurement, claiming approvals from the then CM and adherence to government policies.

Strap:Munde refutes the claim saying purchases were made with approvals of then CM Shinde

Social activist accuses Munde of ₹162-cr scam in agri equipment purchase

MUMBAI: Social activist Anjali Damania has accused food and civil supplies minister, and Nationalist Congress Party (NCP) leader Dhananjay Munde of being part of a ₹161.68 crore scam in fertilizers and agri equipment when he was agriculture minister in the previous Mahayuti government. She alleged goods were procured at a higher rate, violating government norms and that payments were made before the bidding process started.

Munde, who has been under fire over the arrest of his aide Walmik Karad in an extortion case, linked to the murder of Beed sarpanch Santosh Deshmukh in December 2024, rubbished Damania’s claims.

At a press meet at her residence on Tuesday, the activist said that the state government had reserved ₹1000 crore to benefit farmers ahead of the 2024 Lok Sabha elections. Subsequently, the agriculture department invited bids for nano urea and DAP (diammonium phosphate), battery operated pesticide sprayers, cotton stocking bags and metaldehyde, flouting procurement rules.

It was done, she alleged, to favour specific agencies in Madhya Pradesh and Gujarat. The bidders were compensated in March, while the bidding process began in April.

“The GR issued in September 2017 (and updated in April 2018) does not allow procurement of agriculture equipment by inviting bids; the government needs to transfer specific amounts to farmers for 62 specified items. Even though changes are not allowed, then chief minister Eknath Shinde gave a nod to the procurement, making it a ‘special case’,” said Damania, adding, despite the agriculture commissioner at the time Pravin Gedam’s opposition, the procurements were made at higher rates.

She then offered a break-down.

500 ml bottles of nano urea were procured at ₹220 a bottle, against the market rate of ₹92, while similar units of DAP bottles were purchased for ₹590 a bottle against the market rate of ₹269. “The department had ordered 19.57 lakh bottles of each of the two fertilizers, leading up to a scam of around ₹88 crore,” she said.

Additionally, 2.36 lakh battery operated sprayers were purchased for ₹3425 against the market price of ₹2946 per unit. 1.96 lakh kg of metaldehyde was purchased at ₹1275 a kg, against the retail price of ₹817 a kg. Similarly, 6.18 lakh cotton stocking bags were purchased for ₹1250 for a pack of 20 pieces against the market price of ₹577.

“The procurement amounts to a scam of ₹161.68 crore,” she said.

Damania said that the scam related to the fertilizer in nano form is ₹88.02 crore, battery sprayers ₹23.05 crore, metaldehyde ₹9.02 crore and cotton stocking bags ₹41.59 crore. She said that the scam amount is calculated at the retail price of the products and bulk purchase negotiation by the government would have helped the government getting low price.

At a press conference held in Mantralaya to respond to Damania’s allegations, Munde said, “Agri equipment and fertilizers were procured with permission of the chief minister, and deputy chief and finance minister. Nano fertilisers were procured in keeping with the policies of Prime Minister Narendra Modi, as it helps to reduce the input cost and save time. Nano urea and DAP were procured from IFFCO, which sells the products at the same rate. Hence, there is no question of difference in rates.”

Munde added, bidding for battery-operated spraying pumps was done four times to get the best deal and additional warranty. “The cotton stocking bags were procured to give solace to the farmers to enable to stock the cotton when procurement prices had fallen. The bags were procured at rates finalised by the central government approved agency,” he said.