NCS Sugars major importer and exporter of sugar. Defaulted Rs. 51.70 crore on NSEL Exchange.

1. HABITUAL FINANCIAL
OFFENDER NCS SUGARS

2. LINE UP
 Introduction
 Fight between Farmers & Management
 Bobbili court & EOW
 Mr. Rao’s Promise to NSEL
 Revenue Recovery Act
 Closure

3. INTRODUCTION
 NCS Sugars Limited, the flag ship company of the NCS
Group of Companies was incorporated on 6th June, 2002.
 Located at Latchaipeta near Bobbili in Vizianagaram.
 NCS Sugars Limited is one of the sugar factories of the
erstwhile Nizam Sugars Limited, a state-owned sugar
factory, acquired by the NCS Group.

4. CONTD..
 The factory operations under the new management
of NCS Sugars had commenced on 17th January
2003.
 The unit has a crushing capacity of 6,000 tonnes per
day and there is also a co-generation unit in the factory
with a capacity of 20 MW.

5. FIGHT BETWEEN FARMERS &
MANAGEMENT
 Nearly 10,000 farmers supplied about 3.27 lakh MT of
sugarcane to NCS Sugar in 2013-14, which amounted
to Rs 75 crore.
 NCS Sugars paid Rs 50 crore to about 6,000 farmers.
 NCS Sugars yet to paid Rs 25 crore to 4,000
farmers.

6. CONTD..
 Angry farmers launched an
agitation against the factory
management.
 Two Directors of NCS Sugars were
arrested by the police at
Latchaiahpeta in Sitanagaram
mandal.

7. BOBBILI COURT & EOW
 N Murali and N Srinivas were produced in Bobbili Court and
sent to judicial custody for two weeks.
 Mr. Narayanam Nageswara Rao on the other hand utilized the
NSEL platform to fund his nefarious activities and swindle close
to Rs. 54crores.
 He was also arrested by the EOW of Mumbai Police for this
alleged crime.

8. MR. RAO’S PROMISE TO NSEL
 Mr. Rao had promised to return funds to NSEL within a
year.
 He had inked an agreement to pay Rs 50 crore in 12
months to NSEL.
 Mr. Rao had also pledged shares and movable and
immovable assets worth Rs 100 crore for repayment.

9. CONTD..
 NCS had agreed to pay Rs 2 crore a month for five
months and Rs 6.17 crore thereafter.
 The company also offered a collateral of 525,000 shares
of NCS, with the right to appoint an NSEL nominee as a
director on the board, and properties of Rs 102 crore.

10. REVENUE RECOVERY ACT
 District Collector MM Naik had ordered the attachment
of 75.11 acres belonging to the factory at Latchaiahpeta
in Sitanagaram mandal, under the Revenue Recovery
Act.
 The Sitanagaram Tahsildar had been appointed as the
custodian of the lands and the officials assured of
auctioning the property to pay the arrears to farmers.

11. CLOSURE
 NCS Sugars major importer and exporter of sugar.
 Traded on NSEL with an intend to defraud.
 Defaulted Rs. 51.70 crore on NSEL Exchange.
 None of the above promises made by Mr. Rao of NCS Sugars
more than a year ago have been honoured.
 This dishonorouble cheat needs to be rearrested by the EOW
of Mumbai and released only when he meets his obligation.

12. THANK YOU
Source: Media Reports
&
Images for representation purpose only