IFB Agro board approves contributions up to Rs 40 cr to political parties

Firm mentions in Stock exchange filing that it was writing in continuation of earlier letters to boures wherein it had intimated about excise issues affecting it

Kolkata-based IFB Agro said in a filing with stock exchanges that its board has decided to approve contributions to political parties for an amount aggregating not more than Rs 40 crore for the financial year 2022-2023.

The company mentioned in its filing that it was writing in continuation of earlier letters to the stock exchanges wherein it had intimated about excise related issues being faced by/affecting the company.

The board of directors in its meeting dated March 31, 2022, considered “such issues” and in the best interest of the company and all its stakeholders, decided to approve contributions to political parties by way of subscription to the electoral bonds in one or more tranches aggregating not more than Rs 40 crore for the financial year 2022-23, the company said in the filing on Friday.

In a similar filing on October 7, 2021, citing the same issue, the company had informed that its board had approved contributions to political parties by way of subscription to the electoral bonds in one or more tranches aggregating not more than Rs 25 crore for the financial year 2021-2022.  

The company had earlier informed the exchanges about an attack at its Noorpoor distillery in South 24 Parganas, West Bengal, on June 25, 2020 by a group of more than 150 armed goons which resulted in “forced closure” of the distillery. A police complaint was made to the local police station and operations resumed on July 2, 2020 after the police protection was provided.

In a stock exchange filing on December 22, 2020, the company said that till date no offenders had been brought to book.

“Further, the alcohol business of the company has been suffering - and is under threat, as we have been singled out by certain excise officials for not succumbing to their illegal demands - have requested the Hon'ble Chief Minister of West Bengal and also from Hon'ble Finance, Commerce and Industry Minister of the State of West Bengal to look into/investigate the same,” the December filing said.