Gujarat: PIL alleges irregularities at Banas Dairy

The Gujarat High Court today ordered the state Cooperative Societies Registrar to submit a report in connection with a public interest litigation alleging financial and administrative irregularities at the Banas Dairy.
A division bench of Chief Justice Bhaskar Bhattacharya and Justice J B Pardiwala sought the report by August 7 when the next hearing is scheduled.
Keshar Chaudhary, chairman of Mahi Dudh Utpadak Sahakari Mandali Limited, another cooperative of milk producers of Banaskantha district, has filed the PIL, alleging irregularities to the tune of Rs 32 crore at Banas Dairy.
"One such illegality was regarding issuance of debentures to the tune of Rs 32 crore by the Banas society against the amount payable to the members in relation to supply of milk," the PIL says, adding that Cooperative Society Rules, 1965, do not permit such debentures.

Further, office bearers and employees of Banas Dairy were misusing their official position and were appointing their own relatives to various posts, it alleges.