PSUs broke rice export rules: Govt

More than a year after allegations of illegal exports of rice to African countries surfaced.

More than a year after allegations of illegal exports of rice to African countries surfaced,the government on Friday told Parliament that public sector trading firms had indeed flouted norms,benefitting some private companies.

Commerce minister Anand Sharma in a statement said some senior officials of firms like STC,MMTC and PEC allowed export of non-basmati rice to African nations through private companies,while retaining a fig leaf of government-controlled export.

The minister said since an internal inquiry in this matter had established guilt of the officials concerned,it has now been referred to the Central Vigilance Commission,which is expected to give its decision soon. Significantly,these transactions were completed during December 2007-March 2009,when the ministry was headed by Kamal Nath.

Sharmas statement came after Opposition members raised a din in the House demanding an inquiry. He said an internal inquiry by the ministry of commerce has already established the exporting PSUs did not follow the transparent procedure for selection of domestic associates or determination of the price at which the rice was exported.

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Commerce minister Anand Sharma

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