Auctioning of sugar mills by the Maharashtra State Cooperative Bank (MSCB) over the last few years is once again back to haunt the State government, especially the Indian National Congress and Nationalist Congress Party (NCP) sugar barons.
As the Union Co-operative Ministry headed by Home Minister Amit Shah has already hinted that the alleged corruption in the auctioning of mills will be thoroughly probed and the Income Tax (I-T) Department raids continued in Maharashtra, the opposition BJP has brought up the issue in the ongoing Assembly session.
Farmer leaders and activists allege a “conspiracy” to convert co-operative mills into a private venture to grab assets of mills along with sprawling land packs worth multi-crore.
For the last few years, loss-making co-operative sugar mills are being auctioned by the MSCB to recover loans but the auctioning process has been questioned.
Unanswered questions
Former Chief Minister and BJP leader Devendra Fadnavis, while raising the issue in the Assembly on Monday, said many questions in sugar mill auctioning remain unanswered. Operational sugar mills in the State were made defunct. Many mills had small debts which could have been rescheduled, but it was not done. When mills were auctioned the loan amount given by banks was considered as debt but the amount given by the State government to sugar mills was not counted. Hence mills were sold at lower prices and banks got the money.
“But who will pay the State…
