Recovery orders issued against two Maharashtra sugar mills

By: | Published: January 19, 2016 12:10 AM

The govt on Friday had imposed fines on seven sugar mills for continuing crushing operations without obtaining licences

Continuing its tough stand against erring sugar mills, the Maharashtra government on Monday issued revenue recovery certificate (RRC) notices against two mills for non-payment of fair and remunerative price (FRP) dues to farmers for the 2014-15 season.

State sugar commissioner Vipin Sharma said that a series of hearings was held at the Sugar Commissionerate on Monday where these mills were given an opportunity for a final say before the RRC notices were issued.

RRC notices were issued against Swami Samarth Sahakari Sakha Karkhana of Solapur and Jai Bhavani Sahakari Sakhar Karkhana of Beed, he said. Swami Samarth SSK owes farmers Rs 9.07 crore while Jai Bhavani SSK owes dues to the tune of Rs 4.70 crore, he said.

On Friday, the commissionerate imposed fines on seven sugar mills for continuing crushing operations in 2015-16 without obtaining licences.

Sharma told FE that the fine has been imposed at the rate of Rs 500 per tonne from the date of commencing crushing operations which cumulatively comes up to Rs 26 crore. The government had decided to take RRC action against 13 mills that remained shut this season for non-payment of FRP dues.

“Of the 13 mills, RRC orders have already been issued against 7 mills. Showcause notices have been issued to the remaining 6 mills and after the hearing action will be taken against them,” he said.

The collectors of the respective districts are, meanwhile, trying to recover dues from the 7 mills against which RRC orders were issued last season itself, he added.

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