A major financial irregularity has surfaced at Vilas Sahakari Sugar Factory, with authorities registering a case against 69 contractors in connection with the alleged misappropriation of nearly ₹3 crore. According to preliminary investigations, the funds were reportedly diverted through questionable transactions, inflated bills, and irregular contract payments over a period of time. The alleged discrepancies came to light during an audit and subsequent scrutiny of the factory’s financial records.
Officials stated that the case has been registered following the submission of detailed reports highlighting significant lapses in financial management and procurement procedures. The accused contractors are suspected of receiving payments that were either unsupported by proper documentation or linked to incomplete and unauthorized works. Law enforcement agencies have begun collecting records related to contracts, invoices, and payment approvals. Investigators are also examining the possible involvement of former officials and employees associated with the sugar factory’s administration during the period under review.