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The Andhra Pradesh High Court has suspended an Andhra Pradesh Government order that constituted a Group of Ministers (GoM) to review the course of action to be taken on the privatisation of Nizam Sugars Limited.

Acting on a public interesting litigation (PIL) filed by M Appi Reddy, Convenor of Nizam Sugars Protection Committee and others, the court has asked the State Government not to take any action on the privatisation of the sugar factory till it took a final view on the issue.

The GoM comprised Finance Minister Anam Ramanarayana Reddy, Major Industries and Sugar Minister J Geetha Reddy and Minister for Major and Minor Irrigation P Sudarshan Reddy. The Committee filed the PIL, challenging the GO (issued in December 2013).

The privatisation of Nizam Sugars Limited is one of the several issues on the agenda of pro-Telangana activists. The sugar factory, based in Nizamabad district, was set up by the Nizams about 80 years ago and went on to make profits till the end of the century. But the then Telugu Desam Government had decided to privatise the factory after it began to post losses.

“The High Court bench that heard the PIL directed the Government not to take any action on the PIL it further orders,” Chikkudu Prabhakar, Counsel for the petitioner, told Business Line.

Various Telangana political parties and organisations have threatened to launch an agitation, demanding the government to nationalise the sugar factory. (Business Line)