Chhatrapati Sambhajinagar: A case has been registered over alleged financial irregularities in the functioning of the Sant Eknath Cooperative Sugar Factory in Paithan taluka of Chhatrapati Sambhajinagar district, with investigations currently underway, State Cooperation Minister Babasaheb Patil informed the Maharashtra Legislative Assembly, Loksatta reported.
He stated that further action will also be taken through arbitration before the Office of the Sugar Commissioner, Maharashtra if violations are found in the tripartite agreement under which the factory was given on lease.
The issue was raised in the Assembly through a calling attention motion by MLA Vilas Bhumre regarding the functioning of the cooperative sugar mill in Paithan.
Replying to the motion, Patil said the factory had been leased in the 2014тАУ15 season to Sachin Ghayal Sugar Private Limited for a period of 18 years. At the time, the company had agreed to take over liabilities of about Rs 57 crore.
He said complaints about the factoryтАЩs operations were later received by the government, following which an audit was conducted. The audit report pointed to certain financial irregularities. Based on the findings, a case was registered on February 26 against all shareholders of the company.
The minister added that a separate inquiry has also been initiated under provisions of the cooperative law. The investigation will be completed soon and action will be taken against those found responsible.
Patil said proceedings have also begun against the chartered accountant who audited the factory accounts. Action will also be taken against the officer who served as the factoryтАЩs chief manager.
He further stated that the factory had taken a loan of Rs 30 crore from Buldhana Urban Cooperative Bank. Of this amount, Rs 13.83 crore was used to repay dues to the Maharashtra State Cooperative Bank.
The remaining Rs 16.17 crore was claimed to have been used for modernization of the factory, though verification of this claim is still in progress, the minister said.
