Nainital: Addressing the acute financial crisis in the sugar industry, the Uttarakhand high court on Tuesday asked the state government to respond to a PIL regarding uncleared dues to the farmers, almost to the tune of Rs 423 crore. 

A PIL was filed by a resident of Bajpur, Udham Singh Nagar district this week in the HC. 

"It was in 2014 that the government ordered clearing of all dues. Nothing has happened so far. This is gross negligence and cruelty to the farmers," said Jagtar Singh Bajna, the petitioner. 

Earlier in September, a resident of Uddham Singh Nagar had filed an RTI regarding the same. The RTI reply stated that a total of nine mills bought 351 lakh quintal sugarcane crop of which the farmers were just paid 56% of the total amount. The same reply also stated that the sugar mills in the state owed Rs 423 crore to the farmers. 

Irked over the acute crisis, thousands of farmers had protested in Kahsipur town in the district last month. As per the RTI reply, two government sector sugar mills have to pay around Rs 50 crore where as four private mills are due to pay almost Rs 235 crore. Three mills belong to the co-operative departments which owe the farmers around Rs 138 crore. Due to the acute crisis, the farmers have resorted to borrowing funds from different sources at heavy interests.