07-02-2007, 05:27 AM
<!--QuoteBegin-->QUOTE<!--QuoteEBegin--><b>Pratibha mill's Excise fraud </b>
Pioneer.com
Navin Upadhyay | New Delhi
Penalised; co-op registrar asked for criminal proceedings
The charges of involvement in the sugar export scam against Sant Muktabai Sugar co-operative factory, founded by UPA presidential nominee Pratibha Patil, were not merely on paper. In November 2002, the excise department recovered penalty from her company for evasion of excise duty committed by the factory in diversion of export-oriented sugar in the open market. Â
<b>As more facts tumbled out of Pratibha's murky closets, the involvement of her sugar mill in the Maharashtra sugar export scam may indicate her personal involvement because she was then holding the post of founding chairperson and director.</b>
While giving a clean chit to Pratibha Patil in the loan default committed by the Muktabai SSK, Agriculture Minister Sharad Pawar had said on June 24 that Pratibha had been its chairperson and director till she became Governor of Rajasthan in 2004.
The excise department action was not a simple case of recovering dues but it followed findings of various probes. These probe reports conclusively established Muktabai sugar co-operative factory's involvement in a mega scandal in which more than a dozen sugar co-operative factories, in connivance with exporters, diverted in the open market 2.8 lakh tonnes of sugar meant for export or sale through PDS.
After the excise and customs authorities slapped notices against these sugar co-operatives, and following irrefutable evidence of their involvement in the scam, they agreed to pay up the penalty imposed on them.
While the excise duty for the sale in domestic market was Rs 85 per quintal in addition to State sales tax and other levies, the export quota enjoyed "blanket" duty waiver. The duty evasion resulted in a revenue loss to both Central and State exchequers.
The matter did not end with the action initiated by the Excise and Custom officials to recover the duty. Amid clamour for starting criminal proceedings against these companies, the registrar of co-operatives had ordered filing of criminal complaints against boards of directors of these companies.
<b>The Centre had also asked the State Government to initiate criminal action against the factories under Section 9 of the Essential Commodities Act of 1950. But with major political players, including four then Ministers of Congress-led Maharashtra Government involved in the scam, the matter never reached its logical conclusion.</b>
The Muktabai sugar co-operative came under Maharashtra's Aurangabad division in which eight sugar co-operatives were involved in the scam. The amount recovered from these co-operatives, including Muktabai SSK, was Rs 3.97 crore. The other co-operatives who paid up penalty in this division were Kedareshwar, Pune, Hutatma J Patil, Niphad, Vasant Dada Patil, Agasti, Dyaneshwar, Mula, and Tarna SSKs.
In other divisions of Maharashtra, the Sahakar Maharshi Mohite Patil SSK paid Rs 1.07 crore duty against Rs 2.29 crore demanded, Shankar SSK has paid Rs 41.50 lakh against Rs 55.19 lakh demanded, Dongarai Sagareshwar paid Rs 5.15 lakh against Rs 10.47 lakh.
<b>Pratibhagate
In November 2002, Excise department recovered penalty from Pratibha's mill for evasion of duty
Factory diverted export-oriented sugar to open market
Involvement of her mill in Maharashtra sugar export scam may indicate her personal involvement
She was then holding the post of founding chairperson and director
Sharad Pawar had said on June 24 that Pratibha had been its chairperson and director till she became Governor of Rajasthan in 2004</b>
<!--QuoteEnd--><!--QuoteEEnd-->
Pioneer.com
Navin Upadhyay | New Delhi
Penalised; co-op registrar asked for criminal proceedings
The charges of involvement in the sugar export scam against Sant Muktabai Sugar co-operative factory, founded by UPA presidential nominee Pratibha Patil, were not merely on paper. In November 2002, the excise department recovered penalty from her company for evasion of excise duty committed by the factory in diversion of export-oriented sugar in the open market. Â
<b>As more facts tumbled out of Pratibha's murky closets, the involvement of her sugar mill in the Maharashtra sugar export scam may indicate her personal involvement because she was then holding the post of founding chairperson and director.</b>
While giving a clean chit to Pratibha Patil in the loan default committed by the Muktabai SSK, Agriculture Minister Sharad Pawar had said on June 24 that Pratibha had been its chairperson and director till she became Governor of Rajasthan in 2004.
The excise department action was not a simple case of recovering dues but it followed findings of various probes. These probe reports conclusively established Muktabai sugar co-operative factory's involvement in a mega scandal in which more than a dozen sugar co-operative factories, in connivance with exporters, diverted in the open market 2.8 lakh tonnes of sugar meant for export or sale through PDS.
After the excise and customs authorities slapped notices against these sugar co-operatives, and following irrefutable evidence of their involvement in the scam, they agreed to pay up the penalty imposed on them.
While the excise duty for the sale in domestic market was Rs 85 per quintal in addition to State sales tax and other levies, the export quota enjoyed "blanket" duty waiver. The duty evasion resulted in a revenue loss to both Central and State exchequers.
The matter did not end with the action initiated by the Excise and Custom officials to recover the duty. Amid clamour for starting criminal proceedings against these companies, the registrar of co-operatives had ordered filing of criminal complaints against boards of directors of these companies.
<b>The Centre had also asked the State Government to initiate criminal action against the factories under Section 9 of the Essential Commodities Act of 1950. But with major political players, including four then Ministers of Congress-led Maharashtra Government involved in the scam, the matter never reached its logical conclusion.</b>
The Muktabai sugar co-operative came under Maharashtra's Aurangabad division in which eight sugar co-operatives were involved in the scam. The amount recovered from these co-operatives, including Muktabai SSK, was Rs 3.97 crore. The other co-operatives who paid up penalty in this division were Kedareshwar, Pune, Hutatma J Patil, Niphad, Vasant Dada Patil, Agasti, Dyaneshwar, Mula, and Tarna SSKs.
In other divisions of Maharashtra, the Sahakar Maharshi Mohite Patil SSK paid Rs 1.07 crore duty against Rs 2.29 crore demanded, Shankar SSK has paid Rs 41.50 lakh against Rs 55.19 lakh demanded, Dongarai Sagareshwar paid Rs 5.15 lakh against Rs 10.47 lakh.
<b>Pratibhagate
In November 2002, Excise department recovered penalty from Pratibha's mill for evasion of duty
Factory diverted export-oriented sugar to open market
Involvement of her mill in Maharashtra sugar export scam may indicate her personal involvement
She was then holding the post of founding chairperson and director
Sharad Pawar had said on June 24 that Pratibha had been its chairperson and director till she became Governor of Rajasthan in 2004</b>
<!--QuoteEnd--><!--QuoteEEnd-->