Do not force debtors, educate them to repay: Nirmala Sitharaman

Dharmasthala: “The debtors should not be forced to repay their loans but they should be properly educated to pay back the same”, said Union Minister for Defence Nirmala Sitharaman on Monday, October 29.

She was addressing a gathering after launching an insurance programme `Pragathi Raksha Kavacha` organised by the Shri Kshetra Dharmasthala Rural Development Project (SKDRDP) in association with Life Insurance Corporation of India (LIC) at Amruthavarshini Sabha Bhavana, Dharmasthala. Nirmala Sitharaman said, “The money given as loan should not go waste. But, it should be properly utilised. It is also important that the given loan be properly repaid “, she said and added that SKDRDP had been helping around 40 lakh people through its SHGs.

LIC Chairman V K Sharma said, ” I feel proud about the SKDRDP for its movement towards SHG groups. I assure that LIC will offer its service with honesty and show immense dedication towards the members of SHG”, he said.

Dharmastala Dharmadhikari Dr. D Veerendra Heggade, presiding over the programme said, “The loan should not become a curse but a boon. Borrowers should repay the loan very honestly to ensure that others also benefit from it. As the `Pragathi Raksha Kavacha` is a very good insurance scheme, the government also should come forward to extend the same benefit to the workers in various sectors”, he said.

What is Pragathi Raksha Kavacha?
In order to insure the members of Self Help Groups (SHG) and their spouses against death and indebtedness, SKDRDP has introduced a comprehensive loan cum life insurance policy for the entire SHG community in the state of Karnataka. At a very low premium, the loan of a member is covered against death.