Karnataka's Microfinance Crisis: A Brewing Storm

Basavaraj Bommai, former Karnataka Chief Minister, criticizes the Congress government's failure to regulate microfinance companies exploiting the impoverished. Allegations of these firms seizing women's mangal sutras and leading to suicides have sparked protests. The Microfinance Industry Network denies these claims, labeling them as rumor-mongering.

Basavaraj Bommai, the former Chief Minister of Karnataka, has sharply criticized the Congress-led state government for its lack of control over microfinance companies. These firms, he claims, exploit widespread poverty and perpetrate egregious acts, such as seizing women's mangal sutras, pushing families to crisis.

Bommai alleges that these microfinance entities operate fearlessly, deploying aggressive tactics to recover loans. He juxtaposed this with the state government's alleged failure to enforce legal measures to protect vulnerable individuals, thus undermining its assertions of empowering women.

In response, the Microfinance Industry Network refuted harassment accusations leveled against the sector, suggesting misinformation drives the narrative. However, spiraling protests and instances of tragic suicides point to a pressing need for governmental intervention and robust regulatory action.

(With inputs from agencies.)