ED raids 8 Hyderabad locations in Rs. 700 crore sheep scheme scam probe
Hyderabad: The Enforcement Directorate (ED) on Wednesday, July 30, 2025, conducted searches at eight locations across Hyderabad in connection with the multi-crore Sheep Rearing Development Scheme (SRDS) scam. The raids were carried out under provisions of the Prevention of Money Laundering Act (PMLA), 2002.
Premises linked to several accused, including G. Kalyan Kumar, Officer on Special Duty (OSD) to former BRS Minister Talasani Srinivasa Yadav, were searched. Kalyan is named in one of the FIRs filed by the Telangana Anti-Corruption Bureau (ACB), which initially unearthed the scam.
The Telangana government launched the SRDS in 2017 to provide 20 sheep and one ram per unit to shepherd families, with 75% of the cost subsidized. In its initial phase, over 1.28 crore sheep were reportedly distributed. However, the ACB later found large-scale irregularities involving inflated procurement bills, fake transport records, and benami accounts. The estimated value of the scam is over ₹700 crore.
The ACB booked several officials, including Sabavath Ramachander, former Managing Director of the Telangana State Sheep and Goat Development Cooperative Federation (TSSGDCF), and G. Kalyan Kumar. In 2024, the ED registered a case under PMLA and began collecting documents from the Animal Husbandry Department and TSSGDCF.
As part of its probe, the ED sought district-wise beneficiary lists, vendor details, transport records, payment files, and documents related to the procurement and supply of sheep feed. The agency also requested a copy of an internal report on fraud in the scheme’s implementation.
The investigation intensified after a case filed at the Gachibowli police station in Cyberabad revealed the scale of the irregularities. The ACB later took over the case due to its magnitude. Last year, 10 people have been arrested, including senior government officials.
In a statement, the ACB alleged that the accused colluded with private individuals and brokers, violating procurement guidelines. They are accused of obtaining undue advantage, causing a wrongful loss to the state exchequer, and misappropriating funds worth ₹2.10 crore in just one part of the investigation. The ED’s parallel probe aimed to trace the flow of funds and establish possible money laundering linked to the scam.
