Vijayawada: The Andhra Pradesh High Court issued an interim suspension order of GO 19 dealing with a direction to AP Dairy Development Corporation to hand over the management of feeder/balancing dairy located at Sangam Jagarlamudi to the Guntur District Milk Producers’ Cooperative Union Limited for its operation.
A single judge bench headed by Justice DVSS Somayajulu issued the order on Friday, allowing the petitioner to continue in the management and control of the petitioners' union. The court observed that posting of an IAS officer would lead to administrative difficulties as it is a process industry requiring special expertise. It directed that the administration and management shall continue to be exercised by the directors of the company. The court said that the Sub-Collector, Tenali, shall not be present on the premises or take part in the operations or administration.
The court asked the petitioner to carry out the regular day-to-day activities such as payment of salaries, payments of statutory dues and contractual obligations.
The court, however, said that the board of directors shall not, except with the permission of court, create any further charge or encumbrance on the properties and further said that all future transactions by which the movable and immovable assets of the petitioners are sought to be alienated, mortgaged and transferred should be carried out only with the prior permission of the court.
The court allowed normal business activities such as purchasing, processing and selling of milk and milk products to be continued without any hindrance.
