Kerala government on Thursday informed the High Court that it would blacklist 24 wholesalers who supply various products to Kerala State Civil Supplies Corporation (Supplyco) and are named in the vigilance report and will take action to recover damage caused to the corporation from them.

Justice Antony Dominic recorded the submission of the government.

The submission was made on a writ petition by Mr V M Yahiya to take effective and immediate action to recover the loss and damage caused to the Corporation resulting from the supply of sub-standards adulterated products.

Additional Advocate General Mr Ranjit Thampan, also informed the court that payment to the contractors will be withheld.

Earlier, Vigilance Superintendent of Police, Ernakulam, had found several irregularities and supply of substandard materials to the corporation by certain suppliers and the report was produced in the High Court.

Meanwhile, the corporation in a statement said the Vigilance report telling that it cannot be taken on its face value.

According to the corporation, there was oblique motive behind in filing of the case and the recommendation for re-introducing sampling system which was discontinued after 2004 following reports of widespread malpractices.

Earlier, a judicial inquiry had revealed that sampling system was misused to favour certain suppliers and recommended to discontinue this system.

Corporation blamed vigilance SP in recommending re-introduction of the sampling system.

The court adjourned the case to Jan 10 for further hearing.

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