The Hindu

• The Government has already cleared the merger, says DKMUL president 
• Merger challenged by primary cooperative milk producers' society
• Final deal will take place on basis of a four-point formula

Mangalore. Sep 30: The merger of Uttara Kannada district from Dharwad Cooperative Milk Producers' Union Ltd. with Dakshina Kannada Cooperative Milk Producers Union Ltd. (DKMUL) hinges on the outcome of a litigation pending before the Karnataka High Court, president of DKMUL B. Niranjan had stated here on Friday. The Government has already cleared the merger, he added.

Addressing presspersons on the eve of laying down office after a two-year term, Mr. Niranjan said a few primary cooperative milk producer's society in Dharwad district have challenged the proposed merger before the High Court.

Expressing confidence that the court would rule in favour of DKMUL, Mr. Niranjan said respective unions have agreed to part with and accept control of Uttara Kannada at their annual general meetings. M.N. Venkataramu, managing director of DKMUL, said a final merger of Uttara Kannada district into DKMUL would take place on the basis of a four-point formula.

As per this formula, DKMUL would have to pay the cost of plant and machinery set up by Dharwad Milk Union Ltd. at Sirsi to the latter. All the existing staff of Dharwad Milk Union Ltd. would be absorbed into DKMUL, Dr. Venkataramu said.