Marketing Federation MD suspended over Rs 5.5cr fraud

Panaji: The Registrar of Cooperative Societies has suspended, Kashinath Naik, managing director of the Goa State Cooperative Marketing and Supply Federation till the inquiry into his alleged role in a Rs 5.5 crore fraud is over.

The suspension order was issued based on recommendations of the committee of administrators. The administrators have identified another transaction involving a staff member that allegedly resulted in a financial loss to the tune of Rs 1.95 crore.

The federation bought 1,589 metric tonnes of onion from Nafed (National Agricultural Cooperative Marketing Federation of India) at Rs 35 per kg between Oct 22 and Nov 11. The onions were to be sold in Goa at a subsidised rate but were allegedly sold at a higher price for personal gains.

The suspension comes months after a complaint was filed in Nashik for allegedly defrauding NAFED and other federations of Rs 5.5 crore. Officials with the Registrar of Cooperative Societies said that a detailed inquiry and disciplinary proceedings is being initiated. Local authorities will coordinate with the Nashik police’s economic offences wing.