Mangaluru: The Dakshina Kannada Runamukta Horata Samiti has alleged that micro finance companies have been torturing rural women by forcing them to pay high-interest rates and has demanded that such micro finance companies be stopped at the earliest.
Advocate and convener of the Dakshina Kannada Runamukta Horata Samiti B M Bhat told mediapersons here on Monday, November 25, that micro finance companies such as LNT, Muthoot, SKS Samastha, Grameen Koota, Spandana Spurti, Ashirwad, Bharath, Axis, Sagraha, Suryodaya, Aruna etc. have targeted the poor rural women and have been extracting huge amounts of money through high interest rates on loans.
“Though these micro-finance companies were supposed to work for the welfare of the poor and create employment opportunities, they are operating by violating the Micro Finance Act. These companies have been lending money to gullible women in the rural area at interest rates ranging from 19.75 per cent to 31 per cent,” he said.
He also demanded the state government to seize the micro finance companies for operating by violating the Micro Finance Act and torturing rural women by charging them high interest rates.
Bhat insisted that the government nationalise these micro finance companies or provide loans through public sector banks. “As the micro finance companies have been torturing the women to repay their debts plus the interest, there were several instances of suicides among the women in various parts of the state. Hence, the government must register a criminal case against these micro finance companies. To prevent poor women from falling prey to these micro finance companies, the government must provide loans of up to one lakh rupees to BPL card holders,” he said.
Committee members L Manjunath, Nebeesa, Ishwari and Imthiyaz were present.
