The state, on Tuesday, assured the Bombay high court that adequate provision for disbursing subsidies to food grain-based distilleries would be made in forthcoming budget. Subsidies amounting to Rs40 crore have been outstanding for the last two years.
Additional government pleader Rajesh Behere informed the court that due to financial constraints and lack of budgetary provisions, subsidies amounting to Rs39.43 crore were pending disbursal since November 2008. Behere was replying to the petitions filed by Amravati-based Anand Distilleries Pvt. Ltd. and Grainotch Industries Ltd. from Aurangabad.
Counsel for the distilleries, Ashutosh Kumbhakoni, said not a penny was paid to Grainotch Industries out of the total outstanding subsidy of Rs7.46 crore. Considering the long period for which the subsidies have not been disburse, the bench comprising chief justice Mohit Shah and justice SJ Vazifdar allowed the two distilleries to adjust amount of their due subsidies from the state excise payable by them.