JK govt orders winding up of JAFKED

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The Jammu and Kashmir government on Wednesday ordered winding up of ailing Jammu and Kashmir Cooperative Supply and Marketing Federation (JAKFED) Limited after thirty years of operation in the state.

The Registrar, Cooperative Societies, J&K issued an order for winding up the federation.

"In exercise of power vested under sub-section (1) of section 47 of the Jammu and Kashmir Cooperative Societies Act, 1989, sanction is hereby accorded to the winding up of JAKFED registered under the provisions of Jammu and Kashmir Cooperative Societies, 1989," the order from the Registrar said.

The government had in 2017 constituted a managing committee to look into the affairs of ailing JAKFED.

The service benefits of over 200 employees of JAKFED would be protected despite the state government's decision to wind up the loss-making Federation.

JAKFED's cumulative losses stand at over Rs 67 crore.

The government has workedout a voluntary retirement scheme (VRS) for nearly 224 employees of JAKFED, whose livelihoods would otherwise be adversely affected by the decision.