The district administration on Friday seized warehouses of two of the six sugar factories that have a combined pending due of Rs. 163.56 crore to be paid to cane farmers.
Warehouses of Manali and KPR sugars were seized on Friday. The remaining warehouses are expected to be seized in a couple of days, official sources said.
Following a Government Order, the Sugarcane Development Commissioner and Director for Sugar instructed the respective district administrations to seize the warehouses. The respective tahsildars had later issued notice to the mill owners on June 18.
When the district administration did not receive any reply from the mill owners on clearing the dues, the district administration, as per the norms, seized the warehouses.
Officials seized only the quantum of sugar that was equivalent to the due amount and not the entire stock.
Mill owners have not reacted to the decision of the district administration. It is expected that the district administration will soon start auctioning the sugar to recover dues.
