The funeral pyre was lit by Satyendra Singh, Sudhakar's elder brother. At least 10,000 persons from nearby villages were present to bid farewell to the martyr.
Those present on the occasion included Madhya Pradesh Chief Minister Shivraj Singh Chouhan, Leader of Opposition in State assembly, Ajay Singh and Minister in-charge of Sidhi district Nagendra Singh.
Sudhakar's body reached Darhia this morning by road in an Army vehicle from Jabalpur.
The Chief Minister after cremation, announced an ex-gratia of Rs 15 lakh to the kin of the soldier.
Also, his widow will be given a government job at a place of her choice on compassionate grounds, Chouhan said.
A memorial will be constructed in his native village and a plot will also be allotted to them there, he added.