Gujarat Orders Probe in Sumul Dairy Corruption Scandal

Surat : The Department of Agriculture, Farmers Welfare and Co-operation of the Gujarat government has directed the Registrar of Co-operative societies to conduct inquiry and action in the Rs 1000 crore worth of corruption charges in the Surat-Tapi District Co-operative Milk Producers Union Limited (Sumul Dairy). 

The action has come following the complaint made by cooperative leader Darshan Naik to Gujarat Chief Minister Bhupendra Patel on June 13, 2024. Naik demanded action against the corrupt, fraudulent and damaging persons in Sumul Dairy and the ongoing corruption in the organisation and also to order a high-level investigation in the Rs 1000 crore worth of malpractices and administrative negligence. 

The current chairman of Sumul Dairy, Mansinh Patel, who was a board of director, had written a letter to Prime Minister Narendra Modi blowing the whistle on the Rs 1000 crore worth of administrative corruption in Sumul Dairy on June 9, 2020. Patel highlighted the irregularities of the Sumul Dairy board for taking Rs 1,000 loan and shouldering huge expenses on the poor cattle rearers associated with Sumul Dairy. Patel had made allegations against the then chairman of Sumul Dairy, Raju Pathak for his involvement in the Rs 1,000 crore worth of loan scam and demanded a thorough inquiry into the matter. 

Despite four letters from the special auditor (milk) to the Sumul Dairy chairman for exposing the fraudulent, corrupt and damaging persons, the office-bearers have not complied with the orders. 

Darshan Naik, cooperative leader said, “The current chairman of Sumul Dairy, Mansinh Patel had exposed the Rs. 1,000 crore loan corruption in Sumul Dairy and blamed the former Sumul Dairy chairman Raju Pathak. AT present, Raju Pathak is the vice-chairman of Sumul Dairy, while Patel is the chairman. In the last four years, there is no investigation into the corruption charges in Sumul Dairy”

According to Naik, about 80% of the milk mandlis and the milk procurement by Sumul Dairy is done from the tribal areas. However, the tribal farmers have a big role in the prosperity of Sumul Dairy. About nine directors in the board of Sumul Dairy comes from the tribal community. However, the corruption in Sumul Dairy is eating away into the hard-earned money of the tribal people in South Gujarat.