Karnatak

Sugar factories told to expedite loan repayment

The District Central Cooperative Banks and Apex Bank have disbursed loans amounting to ₹5,229 crore to sugar factories in the State in various years and the overnment has asked factories to expedite repayment of the loans.

Cooperation Department Minister S.T. Somashekar on Tuesday reviewed loans sanctioned by 21 DCC banks and Apex Bank to various sugar factories located in different districts and asked officials to collect details related to assets and liabilities, ownership, and management of factories in a week.

The loan amount of ₹4,864 crore was in the current accounts of DCC banks and Apex Bank. A sum of ₹365 crore has turned into non-performance asset.

The Minister told department officials to formulate guidelines to be followed during lending to factories.

As on August 24, a total of 10,57,825 farmers had borrowed crop loans amounting to ₹7,038.91 crore as against the lending target of ₹14,500 crore to 24.5 lakh farmers during 2020-21.

Next Story