The Kerala government on Monday expressed strong displeasure over banks deducting monthly installments of loans from the accounts of landslide victims and survivors in Wayanad, and demanded that these loans be written off completely.
Waiving loans would not impose any unbearable burden upon the banks, and so it should be written off completely, Chief Minister Pinarayi Vijayan said here. While addressing a meeting of the State Level Bankers' Committee (SLBC) here, the CM said relaxation in interest amounts or extension of time for remitting monthly installments would not at all be a solution in the landslide-hit regions.
"Many of those who had taken the loans are deceased, and their land has become unusable due to the disaster," he pointed out. "The only thing we can do is write off the entire loans taken by people in these affected areas," Vijayan said. He expressed the government's strong displeasure over banks continuing to deduct monthly installments from the accounts of survivors and urged the SLBC (State Level Bankers' Committee) to take a favourable decision in this matter. Recalling the horrors and impact of the July 30 tragedy, the CM said a large number of landslide victims or survivors had been engaged in farming activities in Wayanad, but the disaster has even altered the very geography of the agriculture lands there.
Citing reports, he said the affected places have become unusable, and no cultivation or settlement is possible in these areas. "Most of the farmers in the areas have taken out loans. Those who took a loan to build a house had lost the house itself," the CM said, adding that they were not in a position now to repay the instalments.
The CM also pointed out that the banks, after writing off loans, usually expect the government to pay the waived amount. "My suggestion is that you (banks) should not take such a stand on this issue," he said, urging the banks to bear the amount on their own.
Vijayan's reaction came amidst intense protests against the Kerala Gramin bank, which has allegedly deducted monthly installments from the accounts of some landslide survivors in Wayanad. The amount was reportedly deducted from the immediate relief sanctioned to them by the government.
Various political parties staged protests in front of the branch of the bank in Kalpetta on Monday. "The government provided the relief amount to the survivors to meet their immediate needs as they had lost everything. The amount was given through various banks," he said. Criticising the Gramin Bank over deduction of monthly installments from the survivors, he said, "I am not saying anything more. Nothing should be done mechanically at this juncture."
Meanwhile, the protesters told reporters that they were ending the agitations as the bank authorities have given in writting that they would not deduct any more EMI. Major landslides hit the Mundakkai and Chooralamala regions of Wayanad on July 30, almost decimating both areas and killing over 200 people and injuring many.
