'Sugar mills settle loans got in names of Thanjai farmers'

Submitting a petition to the district collector to initiate criminal action against the Tiruarooran Sugarmills in Tirumandangudi and Ambiga sugarmills in Kottur both in the district, T Ravindran, the State General Secretary of Tamil Nadu Sugarcane Farmers Association said that the mill management had to settle arrears of the past two years to the tune of Rs 82 crores for the cane supplied in Thanjavur district alone.

Farmers claimed that the management of the two mills received their signatures on many documents to avail loans for up to Rs 360 crores from various banks, but did not give them the sum nor re-pay the due to the banks. However, the banks began issuing legal notices to the farmers to repay their loans with interests.

Meanwhile in Cuddalore district, the same management has availed Rs 80 crores loans in the names of the farmers and District crime branch has arrested one of the functionary in the management.

“Thanjavur district administration has to take a similar action for making the management pay back the loan amount borrowed from the banks in the names of farmers and should also pay the arrear amount for the sugarcane supplied by the farmers,” said Ravindran.

Meanwhile, a farmer from Kabisthalam, K Ramakrishnan and Ravindran showed the legal notice sent to Ramakrishnan at the collectorate. The notice addressed to Ramakrishnan and the Managing Director of Tiru Arooran Sugars mills, as the second respondent, pointed out that they received loans to the tune of Rs 23 lakhs during June 2016 and had to pay Rs 28.45 lakhs with interest. The notice called both Ramakrishnan and the MD of sugar mills to pay the amount within 10 days or otherwise legal action would be initiated, the notice said.