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Rs 3,500 crore FRP still unpaid in Maharashtra, mills filed false reports: Raju Shetti

Raju Shetti alleges Maharashtra mills hid ₹3,500 crore FRP dues despite claiming full payments. He urges strict action and audits, accusing mills of withholding payments to seek subsidies. Authorities promise verification and action, highlighting growing tensions between farmers and sugar mills over delayed cane payments.

Raju Shetti, founder of the Swabhimani Shetkari Sanghatna, on Wednesday alleged that several Maharashtra sugar mills submitted false information to the Sugar Commissioner claiming full one-time payment of the Fair and Remunerative Price (FRP), while approximately Rs 3,500 crore in dues to sugarcane farmers remains outstanding across the state.

Shetti met Sugar Commissioner Dr. Sanjay Kolte at his Pune office on April 29, pressing for immediate Revenue Recovery Certificate (RRC) action against mills that have not cleared FRP arrears owed to cane growers, Agrowon reported.

Speaking at the meeting, Shetti said nearly two and a half months had passed since the crushing season ended, yet mills had still not paid farmers their FRP. He demanded that the Sugar Commissioner direct the deputy directors of sugar and departmental auditors to conduct an urgent factory-wise inquiry into pending dues and initiate action accordingly.

Shetti further alleged that even though sugar and allied by-products commanded good prices in the market this season, several mill owners deliberately withheld FRP for cane crushed during the final one and a half months of the season. He claimed this was done with a view to project financial distress and secure a subsidy or relief package from the central government. The move had pushed lakhs of sugarcane-growing farmers into hardship, he said. Shetti also alleged that the state government had aligned itself with mill owners and that action taken so far amounted to little more than a show.

Dr. Kolte assured Shetti that within the coming week, his office would gather accurate, ground-level data on pending FRP across all mills. He said that if any factory was found to have submitted misleading information, strict action would follow.

The meeting was attended by the Deputy Director of the Finance and Production division of the Sugar Commissioner’s office, along with office bearers of the Swabhimani Shetkari Sanghatna.

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Source : Chinimandi

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