CBI likely to start probe into sale of 21 UP sugar mills
LUCKNOW: Bahujan Samaj Party (BSP) chief Mayawati, her senior party leaders and top bureaucrats could be in trouble with CBI likely to start a probe into the alleged sale of 21 sugar mills run by the UP State Sugar Corporation Ltd in 2010-11 when the BSP was in power in UP.
The state government had recommended a CBI probe into the sale of the sugar mills on April 12. Although the Centre is yet to issue a notification for CBI inquiry into the case, the premier investigation agency has started ground work with collecting documents associated with the sale of the mills and information from state units.
“It clearly indicates that notification for CBI probe might be issued soon,” said a state government officer.
Principal secretary, home, Arvind Kumar said the serious fraud investigation office (SFIO) under the ministry of corporate affairs had conducted a probe into the purchase of few sugar mills by one Mohammad Iqbal of Saharanpur. In its report, the SFIO stated that Iqbal had submitted bloated balance sheets of the companies run by him. He had floated shell companies as well, he said.
On the basis of the report, the state cane development and sugar industries department had lodged an FIR in Lucknow. The department had urged the state government for a high level probe into the auction of the sugar mills. Later, the state government recommended a CBI probe.
The comptroller and auditor general, in its report released in 2012, unearthed a Rs 1,200-crore scam in the sale of these mills on account of discrepancies in valuation of land and machinery. Transactional advisor, IFCI, has also come under attack from the auditor for lowering valuations.
After coming to power in UP in 2012, the SP government recommended a probe into the sale of the sugar mills by lokayukta.
On February 18, 2013, the lokayukta issued notices to 17 IAS officers including former chief secretary Atul Kumar Gupta, Net Ram, VN Garg, Anoop Mishra, VK Sharma, Manjit Singh, Hari Raj Kishore, JN Chamber, Ganga Deen Yadav, Arun Kumar Sinha and Vinay Priya Dubey.
Former principal secretary, law, KK Sharma was also served notice. “The officers were members of the consultative evaluation committee formed by the UP government to evaluate value of the sugar mills”, the then lokayukta justice NK Mehrotra said.