Sugar factory gives 10 kg free sugar to farmers, takes huge loans in their names

VIJAYAPURA: A sugar factory at Hirebevanur village in Indi taluk has duped hundreds of farmers to the tune of over Rs 10 lakh each by borrowing money from a bank in their names after giving them 10 kg of sugar for free.

The Dnanyogi Sri Shivakumar Swamiji Sugars Ltd collected the Aadhaar numbers and PAN of about 300 farmers and got them to sign bonds after giving them 10 kg of sugar each for free. The sugar factory then borrowed loans of Rs 8 lakh in each farmer’s name from Bank of India towards harvesting and transportation costs.

The farmers, many of whom are not even sugarcane cultivators, were completely unaware of this. They were shocked when they received court notices asking them to pay back the loan of Rs 10,60,000 along with interest. The farmers have now threatened to file an FIR against the sugar factory administration.

Former minister Appasaheb Pattashetty and several other prominent people are directors of the sugar factory. The director of the management council, Sudhir Biradar is accusd of duping the farmers in cahoots with some bank officials.