Rohit Pawar should have presented the evidence and taken names of the leaders with evidence of corruption if he indeed received any.
NCP MLA Rohit Pawar boasted last week that his office had received files related to various ministers and leaders and corruption in the Maharashtra government. Speaking to the media, he stated, “Since the past few days, my office had received multiple files. The files on cursory scrutiny seemed like to be prepared by someone in the investigating agencies and pertained to major corruption scandals in the present government.”
For a seasoned political observer, Rohit Pawar’s boastful statement reminded one of another Pawar. Senior Pawar, who, it is claimed, had in the 1990s boasted to the media how he misrepresented the number of blasts which took place in Mumbai. As Chief Minister, he had displayed pride in the alleged distortion of truth by stating that he added another locality in the list of Mumbai blasts so that the serial blasts weren’t perceived as targeting Hindus (while in reality, it was). Trying to divert attention from the main issue by creating a strawman is a strategy straight out of the Pawar playbook.
Firstly, claims of Rohit Pawar receiving corruption files of other leaders is absurd because individuals who have so much reach and influence to find corruption also should have the intelligence to send it to the right person. Why would anyone send files to Rohit Pawar when Sharad Pawar and Supriya Sule are still active in politics? Who is foolish enough to have damning evidence and send it to a first time MLA than sending it to senior leaders in opposition?
Secondly, Rohit Pawar should have presented the evidence and taken names of the leaders alongwith evidence of corruption if he indeed received any. The fact that he made a generic statement indicates that either he doesn’t have a well-studied reliable file or he is simply bragging to divert media attention from the core issue—the alleged Kannad unit scam of Baramati Agro.
Baramati Agro Limited, a company owned by Rohit Pawar, is being probed by ED in a money laundering case after the company acquired Kannada Sahkari Sakhar Karkhana Limited for a significantly undervalued price of just Rs 50 crores. Rohit Pawar is accused of conniving with Hitech, another company which was part of the bidding process. To make the bidding seem authentic, Rohit Pawar allegedly made payments to Hitech to manipulate the auction process and wrongfully win the bid. He is even suspected of having transferred the earnest money to Hitech so that he can acquire, allegedly at manipulated prices a company whose assets include 161.30 acres of land, plant and machinery and sugar unit of Kannad. The ED action on the alleged Maharashtra State Cooperative Bank (MSCB) scam revealed the manner in which Rohit Pawar allegedly benefited from this deal.
Over the past few months, the ED has been tightening the noose around Kannad Sahkar Karkhana deal and even questioned Rohit Pawar in the Maharashtra State Central Co-operative “scam”. In January, ED raided the premises of Baramati Agro and conducted searches. The ED action is part of its probe into a money-laundering case related to the Rs 25,000 crore Maharashtra State Cooperative Bank (MSCB) “scam”. The MSCB case pertains to loans given to sugar factories which turned into non-performing assets before being sold to third parties for recovery of the loan. The sale price was below market price and a PIL was filed before the Bombay High Court in 2019 for alleged money laundering. The significantly undervalued price at which Baramati Agro bought Kannad sugar factory was suspected to be a result of manipulated auction.
On 8 March 2024, the ED tweeted in the X platform: “ED, Mumbai has attached 161.30 acres of land, plant and machinery and buildings and sugar unit at Kannad, Aurangabad presently in possession of M/s Baramati Agro Ltd worth Rs. 50.20 crore under PMLA in a case related to illegal sale of sugar factories by Maharashtra State Co-operative Bank to M/s Baramati Agro Ltd.” [https://x.com/dir_ed/status/1766059490204336500?s=20]. Based on the press release on 8 March 2024, ED investigation revealed that to recover the outstanding loan of Rs 80.56 Crore of M/s Kannad SSK Limited, MSCB took possession of all the assets of the said SSK on 13.07.2009 under SARFAESI Act. On 30.08.2012, MSCB conducted the auction of Kannad SSK by fixing a very low reserve price based on an allegedly questionable valuation report. Apart from M/s Baramati Agro Ltd., 2 other parties entered into the bidding process. The bidder with the highest bid was technically disqualified on flimsy ground, whereas the other bidder was allegedly a close business associate of M/s Baramati Agro Ltd. with no financial capacity or experience of running sugar unit.
It seems like that Rohit Pawar is foreseeing imminent doom and is therefore in panic mode. After the attachment of Baramati Agro, he seems to be fearing arrest. The loss incurred by Maharashtra State Co-operative Bank by way of a manipulated bidding process is an amount which rightfully belongs to the people while the government went about bailing out ailing sugar factories. Enforcement Directorate in January 2024 had also carried out searches in the premises of Hitech Engineering Corporation which was the other bidder of Kannad. The desperate allegations made by Rohit Pawar seem to be a last ditch attempt at changing the narrative by telling the government that “I have evidence against you.”
The government and the investigative agencies will sooner or later call this bluff and take back Kannad sugar factory and give it to its rightful owners, the people of Maharashtra. Meanwhile, the Pawar legacy of diverting attention by Senior Pawar seems to be getting passed to the next generation in the form of Rohit Pawar.
Shweta Shalini is a Mumbai-based political analyst.