Trader makes 170% profit on wheat due to Drought? Scarcity?

Cops arrest him for selling wheat grains at Rs 19 instead of the required Rs 8

Cops arrest him for selling wheat grains at Rs 19 instead of the required Rs 8

The soaring prices of food grains may have burnt a hole in your pocket, but they are only filling the coffers of illegal traders and black marketers.

In a major success, the Kandivli police arrested Rajesh Kunwar Bahadur Singh (35), the owner of a general store near Raghuleela Mall, last night for hoarding wheat grains and selling them at a price higher than he was allowed to. The police also seized his truck carrying 3,600 kg of wheat worth Rs 3.5 lakh in the market.

Confiscated: Kandivli police seized a truck carrying 3,600 kg of wheat, worth Rs 3.5 lakh in the market.

Modus operandi

Singh would buy the wheat at the government rate of Rs 7 per kg.
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Instead of selling it to the common man at Rs 8 per kg as deemed by the government, he would sell it for a minimum of Rs 19 (sometimes even Rs 21) in the market, thereby increasing his profit margin.

According to Surendra Kumar Jaiswal, senior police inspector, Kandivli police station, "Singh has been involved in this game for many years.

We hope we will get some important information from him which will help us reach the main person behind this racket."
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Meanwhile, the police have booked Singh under the Essential Commodities Act and will produce him in court today.