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This is an archive article published on July 2, 2018

Punjab: Audit report flags shortage of fat content in milk at Verka plants

The audit report says that in April and May, Verka Milk Plants handled 14.75 lakh kg fat and 33.53 lakh kg SNF and recovery against this was 14.50 lakh kg fat and 32.29 lakh kg SNF respectively. It indicates 0.22 per cent shortage of fat content in the milk.

Verka milk plant, punjab The report is part of an inquiry being conducted as per the directives of the managing director, MILKFED, which runs Verka Milk Plants. (File)

CLAIMS Of a scam involving shortage of ‘fat content and SNF (Solid Not Fat)’ in the out turn of milk from Verka Milk Plants have now been substantiated in an audit report prepared by the Punjab Cooperative Societies department that says it led to a loss of nearly Rs 2 crore over two months.

The report is part of an inquiry being conducted as per the directives of the managing director, MILKFED, which runs Verka Milk Plants. The Cooperative Societies ministry also marked an inquiry to vigilance bureau (VB) and the economic offences wing of Vigilance Bureau (VB), Punjab, had also conducted raids at Verka milk plants in Ludhiana and Mohali last month.

The audit report says that in April and May, Verka Milk Plants handled 14.75 lakh kg fat and 33.53 lakh kg SNF and recovery against this was 14.50 lakh kg fat and 32.29 lakh kg SNF respectively. It indicates 0.22 per cent shortage of fat content in the milk, resulting in a loss of 3,247 kg fat, value of which comes to Rs 9.98 lakh and 2.70 per cent shortage of SNF content in out turn of milk, resulting in a loss of 90,538 kg SNF, value of which stands at over Rs 1.85 crore.

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The value of total shortage found as per production balance sheet is more than Rs 1.95 crores. Audit has taken rates of fat kg and SNF kg from monthly cost sheets for the month of April 2018 and May 2018 duly verified by the account department. The sources said that if two months audit checking can prove a loss of nearly Rs. 2 crores then one can imagine the quantum of the scam which perhaps might be going on since long.

This audit report will be submitted to the officials of VB, too, said sources, adding that consumers were sold milk with less fat and SNF contents while higher value was charged from them. As VB is also conducting its own investigation following the raid and Punjab cooperative societies, health and dairy development were assisting them. Fat quality, content everything is being checked. H S Sandhu, general manager of Verka Milk Plant, Ludhiana was recently transferred.

The inspections were done after the matter was raised by Lok Insaaf Party (LIP) MLA Simrajit Singh Bains who had alleged that Rs 5 to 6 per packet was being charged “extra” from consumers in the name of fat content and SNF.

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