Demanding stringent action against Microfinance Institutions (MFIs) for committing irregularities and harassing women beneficiaries, which finally lead them to commit suicides, MLC Paladugu Venkata Rao, on Tuesday, urged the government to file criminal cases against such firms and deal with them according to the prevailing laws.
Talking to media persons at CLP office, Venkata Rao demanded that the government direct the finance firms to recover their lending money under Revenue Recovery Act without resorting to 'Rowdyism and Dadagiri'.
Rao urged the government to take suo moto notice and file cases against firms based on media reports instead of waiting for complaints to be filed by the victims.
The MLC wondered why villagers were approaching MFIs when the government had implemented schemes and policies for the benefit of women and rural people.
Rao urged the government to study the reasons for the suicides among rural people and ascertain claims that MFIs were exploiting and luring them into taking loans at hefty interest rates.