Nanjangud: Strongly condemning the high rate of interest charged by Microfinance companies  and forcible actions for recovery of loans, farmers under the banner of KRRS staged a demonstration in front of Tahsildar Office in Nanjangud town on Wednesday.

Addressing the protestors, KRRS President Badagalapura Nagendra said that Microfinance companies have been harassing the farmers and other loanees by charging high interest on loans. Stating that these companies collect the Aadhaar card, property documents etc., of farmers while advancing loans, Nagendra alleged that farmers are being made to pay a heavy price for any default in repayment of loans along with higher interest.

“ Microfinance companies are engaging rowdy elements for forcible recovery of money from loanees. The farmers across the State are put to a lot of hardship as the Union Government has cut down NABARD funds for lending of loans to farmers of the State. The cutting down of NABARD funds has driven the DCC Banks to the verge of closure. The farmers who used to get interest-free loans from NABARD, are now forced to borrow money from Microfinance companies, which are charging huge interest rates. Farmers who have taken loans from such companies are losing their properties and other assets as the companies are forcibly evicting them out of their homes for default on loan repayments. KRRS strongly condemns the actions of such Microfinance companies,” he said and warned that the KRRS would be forced to launch a massive agitation if the harassment of farmers continue.

Nagendra further said that the KRRS would hold a massive demonstration against the Centre for cutting down NABARD loan funds, at Bengaluru on Jan.29.

KRRS office-bearers Hoskote Basavaraj, Hosur Kumar, Marankaiah, Ankappa, Mahesh Prabhu, Netravathi, Kaulande Paramesh, Premaraj, Hunasanalu Mahesh and others took part.