Guntur: A massive financial fraud of nearly ₹9 crore has surfaced at the Kuragallu Primary Agricultural Cooperative Society in the Mangalagiri assembly constituency. The scam, which has driven several farmers into distress, was allegedly orchestrated by society secretary Rayala Ramesh, now suspended. Authorities have formed special teams to arrest him.Many farmers from Kuragallu, which is part of the capital city Amaravati, deposited nearly ₹10 crore in their accounts in the society. They deposited the huge amounts in the accounts thinking that it would be easy for them to withdraw whenever they needed money. They were also planning to invest in the private ventures coming up in the capital city. Ramesh, who hails from Vijayawada, served as secretary for societies in both Kuragallu and Mangalagiri. According to preliminary findings, he collected large deposits from farmers but diverted the money into his personal account instead of depositing it with society. To mask the fraud, Ramesh reportedly issued fake passbooks and bonds, while ensuring monthly interest was credited to farmers’ bank accounts—making the scheme appear legitimate. The fraud is believed to have unfolded over several months.The scam came to light when farmers attempted withdrawals and staff confirmed that the bonds were fake and no deposits existed. Shocked farmers lodged complaints at the DCCB head office, alleging Ramesh acted with the support of a few employees. An internal inquiry ordered by Bank CEO VV Phani Kumar confirmed that at least ₹9 crore had been siphoned off.Several farmers had invested between ₹30–40 lakh each. Allegations suggest Ramesh diverted funds into real-estate ventures. Farmers accused him of conspiring to loot depositors and ruin livelihoods.Confirming the fraud, GDCCB CEO Phani Kumar said investigations are underway. IT Minister Nara Lokesh has directed officials to arrest the accused and deliver immediate justice. Police have formed special teams to trace Ramesh.
