Sugar mill officials booked in UP cane dues case
UP sugar mill officials face charges for non-payment of farmers’ cane dues
In Uttar Pradesh, four senior officials of a private sugar mill group have been booked for not paying farmers their pending sugarcane dues. The case, filed in Kheri district, involves a huge amount of about ₹561 crore. According to reports, the group has been ignoring repeated government orders and recovery notices.
District Cane Officer (DCO) Ved Prakash Singh confirmed that the group’s sugar mills in Gola, Palia and Khambharkhera failed to clear the farmers’ payments. The government had already issued directives that required the mills to settle the dues by tagging 85% of their sugar stocks, ethanol, and other byproducts. But even after such strict instructions, the company did not release the pending amounts.
The total outstanding dues are very high—₹235 crore from the Gola mill, ₹168 crore from the Palia mill, and ₹156.6 crore from the Khambharkhera mill. This has left thousands of sugarcane farmers in great difficulty, as sugarcane payments are the main source of their income.
Details of the case and complaint
The case has been registered under the Bharatiya Nyaya Sanhita (BNS), India’s new criminal law system. Officials said the charges include cheating and dishonesty under Section 318(4) and criminal conspiracy under Section 61(2). These are serious offences that could lead to strict action against the company’s top management.
The complaint was filed by Dr. Rajiv Kumar Singh, secretary of the Farmers’ Cooperative Cane Development Society. In his complaint, he gave detailed figures showing how the mills crushed sugarcane but failed to pay the farmers on time.
He pointed out that Khambharkhera mill alone crushed about 94.3 lakh quintals of sugarcane worth ₹346.1 crore between November 2024 and March 2025. According to law, mills must pay farmers within 14 days of cane delivery. However, this company failed to follow the rule, leaving the farmers waiting endlessly for their money.
Officials from the cane department had been sending repeated reminders and notices. Both the district cane officer and the deputy cane commissioner asked the mills to clear payments quickly. The UP Cane Commissioner also issued a recovery certificate for ₹274 crore against the company. But even this step did not push the company to release the farmers’ money.
Impact on farmers and government action
This situation has created serious hardship for sugarcane farmers in the area. Sugarcane is a crop that requires a lot of time, water, and labour. Farmers depend heavily on timely payments from sugar mills to manage their daily needs, buy seeds and fertilizers for the next crop, and repay loans. The delay of such a huge amount has forced many of them into financial trouble.
Farmers’ organizations have been protesting and demanding strict action against mills that delay payments. They say that despite clear laws and government orders, many sugar companies treat farmers unfairly. Cases like this highlight the need for stronger enforcement so that farmers are not left helpless.
The government has taken a strict view of the matter this time. By booking the senior officials under BNS, the authorities have sent a message that companies cannot escape responsibility. This could also serve as a warning to other sugar mills in Uttar Pradesh and other states that payments must be made on time.
At the same time, farmers are waiting to see if the action leads to real recovery of their dues. They want the money to be transferred quickly so they can continue their farming activities without facing more financial pressure.
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The bigger picture of cane dues in UP
Uttar Pradesh is the largest sugarcane-producing state in India. Every year, lakhs of farmers supply sugarcane to mills across the state. The Sugarcane (Control) Order makes it mandatory for mills to pay farmers within 14 days. If they fail, interest is supposed to be added to the dues. However, delays are still common.
Experts say that the problem continues because some mills do not manage their finances well, while others deliberately delay payments. Government pressure sometimes works, but often farmers are forced to wait for months, even years, to receive their rightful dues.
The case in Kheri is one of the biggest examples of how large amounts can remain unpaid despite official recovery orders. If the pending amount of ₹561 crore is not cleared soon, it could affect the upcoming sugarcane season and lead to more farmer protests.
Conclusion
The booking of the four officials of the private sugar mill group marks an important step in holding companies accountable for sugarcane dues. While the government has taken legal action, the real test will be whether farmers actually receive their pending payments.
For now, the farmers of Gola, Palia, and Khambharkhera are waiting for justice, hoping that this time the strict action will finally result in the release of their hard-earned money.
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