The government is also reviewing applications that were rejected by the NCDC and facilitating fresh applications from mills seeking financial assistance.The Maharashtra government has cleared loans totalling Rs 335.32 crore for two cooperative sugar mills linked to leaders of the ruling Mahayuti, weeks after its decision to extend an Rs 18 crore loan to a sugar factory associated with BJP MLA Abhimanyu Pawar drew criticism.The latest assistance, routed through the National Cooperative Development Corporation (NCDC), comes ahead of the sugarcane crushing season, which begins in October-November, and at a time when cooperative banks have tightened lending to mills with outstanding defaults.The Tatyasaheb Kore Warana Cooperative Sugar Factory, associated with MLA Vinay Kore, has been sanctioned a loan of Rs 160.37 crore. The Cooperation Department has directed the mill to use the funds to clear its outstanding borrowings from the Kolhapur District Central Cooperative Bank and repay the NCDC loan within two years.Also read | Mahayuti’s Rs 18 crore ‘special case’: Loan cleared for BJP MLA-linked sugar millAnother Rs 174.95 crore has been approved for the Loknete Marutrao Ghule Patil Dnyaneshwar Cooperative Sugar Factory in Nevasa in Ahilyanagar district. It too has been instructed to use the funds to settle its outstanding loan.The approvals come against the backdrop of the Maharashtra State Cooperative Bank and district central cooperative banks increasingly refusing fresh credit to sugar mills that have defaulted on earlier loans. Banks have sought state government guarantees before extending further financial assistance to these mills.With conventional cooperative bank funding becoming difficult, the state government has increasingly turned to the NCDC to support financially stressed sugar mills. Several cooperative mills received NCDC assistance in the run-up to the Lok Sabha and Assembly elections in the past.Also read | BJP targets NCP corporator again, funds worth Rs 11.5 cr divertedThe government is also reviewing applications that were rejected by the NCDC and facilitating fresh applications from mills seeking financial assistance.Story continues below this adLast month, the state Cabinet approved an Rs 18 crore NCDC loan, backed by a state guarantee, for Nilkantheshwar Cooperative Sugar Factory, associated with Pawar. The proposal had reportedly faced objections from the Finance and Cooperation departments before receiving approval.The latest approvals are likely to provide fresh ammunition to the opposition, which has repeatedly alleged that the government is extending financial support to sugar mills associated with leaders of the ruling parties.