Cooperation Minister Damodar Rout on Monday said the State Government is mulling to make the Badamba cooperative sugar mill operational in the interest of farmers even though its owner laxmipati Balaji and Distilleries Pvt lted has violated ownership agreements. The Minister said this in the State Assembly while replying to a question put by member Ranendra Pratap Swain and additional questions put by a host of members.
The Minister said the laxmipati Balaji and Distilleries Pvt ltd which got ownership of the sugar mill on a sale and purchase agreement in 2005 has turned to be a fraud company. “It is yet to pay dues to both the State Government and the concerned farmers. Besides, it has taken a huge amount of loan from bank by pledging assets of the mill,” the Minister said.
Now, the State Crime Branch is investigating into the irregularities committed by the company. Besides, the State Vigilance has sized all its documents, he informed. He also informed investigations are now on how the Registrar of Cooperative Societies had issued no objection certificate to the company after it violated agreement norms.
Dr Rout said the State Government had also filed a case in the Supreme Court against the company. But, the apex court transferred the case to the High Court. The case is now pending with the HC. However, the Minister said the State Government is mulling to make the sugar mill operational in view of interest of farmers, he said.
Now, two out of five cooperative sugar mills are operating in the State. They are Aska Cooperative Sugar Industries ltd and Baragarh Cooperative Sugar Mill ltd.