Karnataka CM Pledges Crackdown on Microfinance Harassment

Karnataka Chief Minister Siddaramaiah vows action against microfinance companies if harassment complaints arise. He plans to implement helplines for reporting issues and instructs police to act promptly. The initiative follows reports of suicides and protests against microfinance practices, with plans for amending money lending laws.

Karnataka Chief Minister Siddaramaiah announced a firm stance against microfinance companies accused of harassing borrowers during loan recovery.

Speaking to reporters, the Chief Minister revealed plans to set up helplines for citizens to report such harassment while instructing police to act swiftly on complaints. Siddaramaiah emphasized that the government's priority is to protect borrowers.

The initiatives were spurred by recent reports highlighting tragic suicides and widespread protests, particularly by women, against aggressive practices of certain microfinance institutions. The state government intends to amend current money lending laws to better safeguard genuine borrowers.

(With inputs from agencies.)