The state home ministry has ordered a CID probe into the alleged Rs800-crore sugar sale scam. Home minister RR Patil ordered the investigation after Raju Shetty, president of Swabhiman Shetkari Sanghatan and MP, alleged that sugarcane farmers were being exploited by contractors.
Shetty said that there is a nexus between the management of sugar factories, the government and private contractors. “They are all exploiting the farmers by buying sugar at low rates and selling it at higher rates outside the state. After meeting the state’s demand, 26.93 lakh tonnes of sugar remained in various factories in October 2013, while there was a huge demand across the country,” Shetty said.
“But instead of participating in the sugar supplying tender process, factories sold the sugar to contractors at throwaway prices (Rs26,000 per tonne). On the other hand, contractors sold this sugar to states that needed it at Rs35,000 per tonne,” he added, adding that the difference of nearly Rs800 crore was not shared among the members of the concerned sugar cooperatives.
Sanjeev Babar, managing director of Maharashtra State Co-operative Sugar Factory Federation, told dna on Thursday, “Nowadays, everything is transparent. If something is amiss, then it will surely come out as the accounts of each sugar factory are scrutinised. Shetty’s allegations are more politically motivated than based on facts,” Babar said.
Scandalous break-up
Following states purchased sugar in open market from contractors, mostly brought from Maharashtra itself
Rajasthan bought 93,000 tonnes of sugar at `35,000 per tonne
Madhya Pradesh bought 1.56 lakh tonnes at `35,700 per tonne
Sikkim bought 40,700 tonnes at `43,280 per tonne
Haryana bought 31,000 tonnes at `34,490 per tonne
Himachal Pradesh bought 56,000 tonnes at `35,000 per tonne
Chhattisgarh bought 56,000 tonnes at `31,300 per tonne
Farmers exploited
Raju Shetty, president of Swabhiman Shetkari Sanghatan and MP, alleged that sugarcane farmers were being exploited by contractors. He said that there is a nexus between the management of sugar factories, the state and private contractors
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