Cold Storage Scam: Lok Satta Demands Action

"The government, which failed to promote the establishment of cold storages in tune with farmers' requirements, has not been able to protect their interests when they store their produce in existing cold storages," charged the Lok Satta Party on Friday.

In a media statement, P Bhaskara Rao, state convener of the party's farmers' wing, pointed out that cold storage owners, in collusion with bank officials, have taken pledge loans of up to Rs. 100 crore in Prakasam district in the names of farmers without their knowledge.

"A similar scam had taken place at Madira in Khammam district in the past. As the government had remained mum on the Madira scam despite Lok Satta's demand for action, it has been repeated in Prakasam district now," he said.

Bhaskara Rao demanded that top government officials initiate action against cold storage owners and officials responsible for the scam, since political administration in the state has come to a standstill. All innocent farmers arrested for no fault of theirs should be released, he demanded.

The Lok Satta leader demanded that cold storages be brought under the purview of market committees and be entrusted with the responsibility of ensuring that there are no irregularities in the grant of pledge loans. Market committees should be immunized from political interference, he said. (INN)