Farmers staged a protest at Sangam Dairy located in Srinivas Nagar of Miryalaguda mandal.
The SBI bank auctioned off the VT Dairy, which previously existed in Srinivas Nagar village, due to unpaid loans to banks.
Sangam Dairy was purchased it in the auction. The dairy was inaugurated on Wednesday. Consequently, farmers from Srinivas Nagar village and nearby areas claimed that they had invested in the dairy and supplied milk, but VT Dairy did not pay them, and they demanded that the current Sangam Dairy should make the payments.
They pointed out that around 500 people had been employed by VT Dairy in the past, but now Sangam Dairy has brought in staff from the Andhra region to run the operations. They insisted that jobs in the dairy should be provided to local people only. They also demanded that the money owed to all the farmers who had invested in the dairy should be paid immediately.
VT Dairy owners, Venkateshwar Rao and Satyanarayana, stated that the market value of the VT Dairy unit and the associated land is approximately 25 crore.
They alleged that without notifying them, the bank colluded with Sangam Dairy and auctioned it off for just 11.5 crore. They mentioned that this matter is currently under litigation in the High Court. They demanded that the dairy should be run only after paying the current market value and settling the dues owed.
