A Justice of the Peace courtroom on Wednesday issued a non-bailable warrant in opposition to Cafe Espresso Day Group Director Malavika Hegde, in a cheque bounce case in Chikkamagalur. The previous spouse of V G Siddhartha, who had been chairman of the corporate earlier than his dying, is amongst different prime functionaries in opposition to whom warrants have been issued attributable to continued defaults in funds of coffee-growers.
“On sixth October they have been summoned to be seem earlier than the courtroom. since they failed to take action, the courtroom issued the non-bailable warrants in opposition to 8 individuals – the corporate as a respondent, its MD and CEO, its Director Malavika, and different functionaries like CFO,” stated lawyer Halekoti Tejasvi, combating on behalf of Nandish, one of many coffee-growers who had approached the JMFC courtroom in Mudigere.
Different coffee-growers in Chikkamaglur and Mudigere are combating with the identical grievance. Tejasvi is dealing with the circumstances of about twelve growers who had obtained fee cheques value Rs 30 to 50 lakhs.
“These cheques have been issued after Siddhartha, however weren’t honoured. The NBW has been issued however is but to be executed. The opposite circumstances are at totally different levels, for instance, summons issued in a few of them,” he stated.
Okay Nandish, the plantation proprietor who had gone to courtroom on this case, stated the corporate had given him cheques for Rs 45 lakh. About ten per cent of those dues have been cleared by the Amalgamated Bean Firm, the holding firm of the CCD group.
“We now have been supplying espresso to the corporate for a few years. He used to offer us deferred cheques with an curiosity of 10 to 12 per cent in order that the cheques may very well be honoured after he will get adequate funds. After his unlucky dying, his spouse had instructed us that clearing espresso growers dues could be precedence for the corporate,” he stated.
He stated the planters had already waited for a lot of months so the corporate may work out its funds, however after receiving no cash, determined to strategy the courts.
“In keeping with the corporate’s consultant who was deputed to speak to us all, there are dues to about lots of of individuals in Chikmaglur and in Hassan, which they’re making an attempt to kind out. However we do not know what is going on,” he stated.
A CCD spokesperson in a press release stated: “We had excellent funds to 1,020 espresso planters of Chickmagalur and Hassan one yr again. We now have totally paid again 700+ planters within the final 11 months. We now have additionally made half funds to the remaining planters. The group’s fund elevating plans have been hampered by the COVID-19 pandemic and therefore the delay in finishing the funds. However we stay dedicated to assembly all our obligations.”