3 min readMumbaiAug 12, 2026 12:28 PM IST
First published on: Aug 12, 2026 at 07:07 AM IST
Terming it a “special case”, the Maharashtra Cabinet on Tuesday approved a Rs 18 crore loan from the National Cooperative Development Corporation (NCDC) for a sugar factory linked to Bharatiya Janata Party (BJP) MLA Abhimanyu Pawar, continuing a recent run of the state approving financial assistance to cooperatives having links with leaders of the BJP-led Mahayuti government.
The factory had approached the Commissioner of Sugar in Pune to seek a Rs 18 crore loan. The Cabinet approved the proposal with a specific rider that it be treated as a special case.
“Approval has been given on the condition that this proposal is treated as a special case, will not be considered a precedent, and is strictly a one-off instance,” a cooperative department official said.
The loan is for Killari’s Shri Nilkantheshwar Sugar Factory and will be used for capital expenditure and working capital. Following the Cabinet approval, the proposal will be forwarded to the NCDC.
Not the first case
This is the third occasion on which a cooperative linked to the MLA from Ausa has received state approval for an NCDC loan. His Shetkari Cooperative Sugar Mill was earlier sanctioned NCDC loans of Rs 50 crore in August 2023 and Rs 22.97 crore in July 2024.
The latest approval comes against the backdrop of financial guarantees extended by the state to cooperative sugar mills whose office bearers or directors have political links to the ruling alliance.
Earlier this year, the state sanctioned loan guarantees totalling Rs 768.19 crore to five cooperative sugar mills in Kolhapur, Sangli and Ahilyanagar.
These included Rs 114 crore for Bhogawati Cooperative Sugar Mill in Kolhapur, run by a panel backed by Rahul Patil, who moved from Congress to NCP in August 2025.
Dudhganga Vedganga Cooperative Sugar Mill in Kolhapur received a Rs 261.80 crore guarantee. Its chairman, K P Patil, switched from Shiv Sena (UBT) to NCP in May 2025.
Tatyasaheb Kore Warna Cooperative Sugar Mill in Kolhapur received a Rs 139.63 crore guarantee. Jan Surajya Shakti MLA Vinay Kore, whose party is an ally of the BJP, is a director on its board.
Dr G D Bapu Lad Cooperative Sugar Mill in Sangli received a Rs 72.56 crore guarantee. Its chairman Sharad Lad moved from NCP (SP) to the BJP in October 2025.
Mula Cooperative Sugar Mill in Ahilyanagar received a Rs 180.20 crore guarantee. Its former chairman and Shiv Sena (UBT) minister Shankarrao Gadakh quit the party in November 2025 and now works with his regional Krantikari Shetkari Party.
The latest decision adds to the state government’s financial support for the politically connected cooperative sugar sector, while the Cabinet has specifically described the Killari factory’s loan as an exception.