Lok Satta Party

Press Note

Date : 02.05.2007

LOK SATTA PARTY HAILS HC JUDGMENT PROTECTING MILK COOPERATIVES

Dr. Jayaprakash Narayan has welcomed the High Court judgment quashing the State Government's attempt to unilaterally and dishonestly take over the functioning and assets of all the successful dairy cooperatives in the State.

Addressing a series of public meetings in Guntur District today, as a part of Lok Satta Party's Janarajakiya Yatras, Dr. Jayaprakash said that the Government had planned the take-over of milk cooperatives under the pretext of improving their performance, preventing misuse and protecting their 'three-tier structure'. The Government's move was patently dishonest, completely unconstitutional and totally harmful for both producers and consumers of milk. Government take-over meant the opening of doors for blatant misuse of cooperatives' assets for the private gain of a privileged few political leaders.

In 2006, the AP Government attempted to bring under complete government control, over 4000 primary milk societies and 8 district milk unions in the State by amending the Mutually Aided Cooperative Societies Act (MACS Act, 1995).

Immediately, the AP Dairy Cooperatives' Forum, District Cooperative Milk Producers' Union, Cooperative Development Foundation and Lok Satta had initiated a public campaign across AP beginning in February 2006. The aim of this campaign was to force the Government to withdraw its regressive and clearly unconstitutional step. The ordinance and proposed amendment to the MACS Act were challenged in the High Court, which gave its final order yesterday, completely vindicating the Lok Satta's stand.

Dr. Jayaprakash pointed out that while the cooperatives under the MACS Act were being run in a professional, autonomous and democratic manner, all the district milk unions under government control were grossly inefficient and harmed the interests of both milk producers and consumers.

Dr. Narayan said the High Court has upheld the Constitution and rule of law by quashing the Government's move.

 

For Lok Satta Party