The police have busted a racket involving buying rice sold under the Public Distribution System (PDS) and selling it in the open market as Sona Masuri variety.
The police raided two places in Koteshwara village of Kundapur taluk on Thursday evening and seized 550 quintals of rice thus purchased and stocked illegally. They arrested eight persons in this connection.
The raid was conducted jointly by the Kundapur Police and the District Crime Investigation Bureau. In the first instance, the police seized 242 quintals of rice. They seized 308 quintals of rice from the second place.
The police said that the accused, after purchasing the rice from ration card holders, got it polished for selling it as Sona Masuri variety. They were ready to transport it to Kerala in two lorries on Friday.
On a complaint by the Kundapur Food Inspector, two FIRs were registered against the accused under the Essential Commodities Act. Apart from the rice and two lorries, the police seized three cars and cash from the accused.