Bengaluru: The Karnataka Cabinet on Thursday approved the 40-year lease of Pandavapura Sugar Factory (PSSK-Pandavapura Sahakara Sakkare Karkhane) to Bagalkot district based Nirani Sugars, owned by Bilgi BJP MLA and former Minister Murugesh Nirani.
Announcing this after a Cabinet meeting, Law Minster J.C. Madhuswamy said that following an appeal by the sugar factory share holders, the Government had floated global tenders for running the factory. All the tenders received within the set deadline were opened on June 5, when Nirani Sugars, which was found to be the highest bidder with Rs. 405 crore, was awarded the contract for running the Sugar Mill on Lease, Rehabilitate, Operate and Transfer basis for a 40 -year period, he said. From now on, everything rests with Nirani Sugar Company on running the Pandavapura Sugar Mill, he added.
