Farmers protest diversion of Central govt benefits to crop loan defaults

TIRUCHY: Charging that the banks were transferring the old age pension and other central government benefits towards agriculture loans of defaulters, a group of farmers from the region staged a protest in front of the lead bank in Tiruchy on Friday.

According to the protesting farmers, the Union government has been providing old age pension, benefits like differently-abled welfare assistance, widow pension and wages under MGNREGS and all these assistance are directly credited into the accounts of beneficiaries. While several farmers are receiving assistance under these central government schemes, bank officials instead of handing over the money to the beneficiaries, adjust the amount for default of farm loans.

“The government has directed the banks to waive over Rs 10 lakh crore loans obtained by the corporate companies, but the same institutions divert the cash assistances to crop loans obtained to the tune of Rs 10,000,” said P Ayyakannu, stare president of Desiya Thennidiya Nathigal Inaippu Sangam who led the protest.

He demanded the government to instruct the police to arrest bank officials, who are responsible for such diversion of funds.

The farmers raised slogans in support of their demands and attempted to besiege the regional office of the Indian Overseas Bank, but they were stopped and arrested.