Srinagar, July 6: The Anti-Corruption Bureau (ACB), Jammu and Kashmir, has registered a First Information Report (FIR) against five officials of the Food, Civil Supplies and Consumer Affairs (FCS&CA) Department and nine Fair Price Shop (FPS) dealers for their alleged involvement in the embezzlement and misappropriation of government food grains worth over ₹5.57 crore in Karnah area of Kupwara district.
According to an ACB statement, FIR No. 02/2026 was registered at Police Station ACB Baramulla under provisions of the Prevention of Corruption Act, 1988 (as amended), and the Bharatiya Nyaya Sanhita (BNS), 2023, after obtaining prior approval from the General Administration Department (GAD), Government of Jammu and Kashmir.
The case originated from a communication by the Director, FCS&CA Department, Kashmir, seeking criminal action after departmental inspections and physical verification revealed large-scale shortages of government food grains at sale centres and Fair Price Shops in Karnah.
A Joint Surprise Check conducted at the Lountha Granary in Karnah initially detected a shortage of 4,175.89 quintals of rice. Subsequent physical verification by a departmental sub-committee and an independent verification by the ACB uncovered further shortages at government sale centres and Fair Price Shops under the Tangdhar, Karnah-A and Karnah-B circles.
The ACB said the investigation found that the shortages had caused a loss of ₹5,57,18,657.25 to the government exchequer.
According to the Bureau, the alleged fraud was carried out through a “well-orchestrated criminal conspiracy” involving public servants and private beneficiaries, who are accused of dishonestly misappropriating government food grains entrusted to them by abusing their official positions for unlawful financial gain.
Among those named in the FIR are Umar Bashir alias Raja Umer, then Assistant Storekeeper, and Ashiq Hussain Mir, then Assistant Storekeeper, along with 12 other accused comprising FCS&CA officials and Fair Price Shop dealers.
The accused have been booked for offences related to criminal misconduct, criminal breach of trust, misappropriation of government food grains and criminal conspiracy.
The ACB said searches were launched at multiple locations immediately after the registration of the case and further legal proceedings have been initiated. The investigation is currently underway.

