3RD PARTY AGENTS USED BY BANKS TO RECOVER LOANS TURN HEADACHES FOR MANY
Kendrapara : Employment generation program for youths through establishment of Micro, Small and Medium Enterprises (MSME) have run in rough weather in Kendrapara district. This is because in most cases banks are not ready to sanction the requisite amount, sources said here Tuesday. Also the use of force and third party agents by banks to recover the loans is prompting youths to seek livelihood elsewhere. Many such cases where loaners have been physically attacked and humiliated has been reported from Pattamundai locality of this district, locals alleged. The Centre and State Government have floated various schemes towards employment generation for youths. Among them, schemes like the Prime Minister’s Employment Generation Program (PMEGP), Prime Minister’s Rozgar Yojana and Credit Guarantee Scheme. However, youths interested in starting their own business are finding it extremely difficult to do so. When banks are not sanctioning the requisite amount, for which they have to turn to other lenders. Then they are facing the double pressure of banks and the lenders who are only interested in recovering the loans. Ritarani Barik said that she had applied for a loan of Rs.8,00,000/- lakh for establishing a spice manufacturing unit with the District Industries Centre (DIC) under PMEGP scheme. However, she was sanctioned Rs.3,00,000/- lakh only by a public sector bank. Then she arranged the rest amount of money by selling a plot of land and gold ornaments. Then she started the unit, but she was forced to shut it down due to the Covid-19 Pandemic. She complained about regular harassment by the bank and using third party agents to humiliate her.
Social activist Satyapriya Samal pointed out that since this district is essentially agriculture oriented, encouragement should be given to youths wanting to start their units. Then only industrialization of the district will be possible. However, the DIC is letting the youths down, Samal added. Locals stated that banks are only interested in loan recovery and for that they can go to any extent including use of force. Hence many youths are migrating outside the State for their livelihoods. When contacted to DIC manager Ganesh Chandra Behera, he said that steps will be taken if any victim lodges complaint against the third party agents of banks.
Farmer leader Bijay Das informed that the third party agents of banks are not even sparing the farmers who have mortgaged their land for loan. He added that many times, the banks are holding back the money of farmers received from Kalia and other government schemes. District Agriculture Officer Sarat Nayak expressed his helplessness over the issue.
