Loans of sugar factories to be rescheduled

Loans of sugar factories to be rescheduled
The Hindu

HUBLI: NABARD has agreed to reschedule loans of 14 cooperative sugar factories in the State, said R.V. Deshpande, Minister for Cooperation, here on Sunday.

Mr. Deshpande said in a brief chat with presspersons that a credit of Rs. 185 crores was to be made available to these sugar cooperatives by NABARD.

The Government had also proposed that a working capital of Rs. 100 crores be given to sugar cooperatives and it (proposal) was being sent to NCDC.

The Government, he said, had decided to sell or lease out four loss-making cooperative sugar factories at Aland, Brahmavar, Pandavapur and Haveri.

This had been decided as per the recommendations of a Cabinet Subcommittee, Mr. Deshpande said.

Some of the nominees had come from Gulbarga to plead against the proposal as far as the Aland Cooperative Sugar Factory was concerned.

The acceptance of the suggestion would mean the Government would have to invest Rs. 25 crores in the Aland sugar factory. A decision is yet to be taken, Mr. Deshpande said.

As far as the revival of KCC Bank, Dharwad, was concerned, Mr. Deshpande admitted that there had been some delay in making available the promised assistance. The bank was to be revived by March 2006, he added.