According to ACB sources, ED is likely to register an Enforcement Case Information Report (ECIR) against Sangam Dairy chairman Dhulipalla Narendra Kumar and other directors.
ED is also looking into the illegal transfer of government land to private entities owned by Narendra Kumar’s family.
The Sangam Dairy management was found making illegal transfer of money to transport operators and kin of directors through unofficial accounts. ACB has tracked down some of the transactions and is taking ED’s assistance to zero-in on the beneficiaries of money transfers.
ACB had seized several documents from Sangam Dairy offices during the raids held last month. The ACB also gathered critical information about cash transactions from the dairy accounts to suspected unauthorized individual accounts from computers operated by marketing and accounts sections in the dairy. The dairy management is facing charges about securing Rs 105 crore loan from National Dairy Development Board (NDDB) by producing forged documents.
ACB has also gathered documents regarding illegal transfer of about Rs 115 crore worth land from the dairy to a private trust owned by Dhulipalla Narendra Kumar family.
The dairy has allegedly been pumping funds to the private trust from the profits earned with the money of milk producers.
As per the rules, the dairy should secure all the required clearances from the government before converting the cooperative milk producers’ dairy into Company Act. It should also clear dues to the government and return government land if any in the control of the cooperative unit to switch to the company limited.
Without following the due procedure, Dhulipalla Narendra-led board of Sangam dairy converted the dairy into the Company Act.
ACB has taken the issue of the dairy’s decision to pay huge bonus to private milk companies which sold the stock to the dairy on par with growers to the notice of ED.
According to sources, the dairy has paid Rs 70 crore to private dairies and routed the money to unauthorised accounts. The dairy’s huge payments to transport firms owned by people close to the board director is also under ED’s scrutiny.