Do not drag Rahul Gandhi's name in MFI issue: DS

Condemning the remarks of Opposition leaders over linking of AICC general secretary Rahul Gandhi’s  name to alleged harassment of micro-finance institutions, Pradesh Congress Committee president D Srinivas on Wednesday made it clear that he has no connection with MFIs operations in the state.

Talking to media persons at the Gandhi Bhavan, the PCC chief reiterated the state government would not spare any erring organization in initiating action against them, whoever it may be.

Mr Srinivas said that Mr Rahul Gandhi was totally against the Micro Finance loans and asked the leaders not to indulge in loose talk about the Congress General-Secretary.

He said that he had urged Chief Minister K Rosaiah to look into alleged harassment and abusive nature of MFIs in recovery of loans from women and rural folk.

The PCC chief stated the Chief Minister had assured to look into the issue seriously and take a decision on Thursday by conducting a cabinet meeting.

Before giving permission for MFIs, the rules and regulations for controlling their activities should be tightened by Reserve Bank of India, Mr Srinivas appealed to Chief Minister.

He said the government has introduced 25 paise interest scheme for self help groups’ women in order to check the operations of MFIs in rural areas.

However, women and villagers were falling into trap of MFIs and ending lives unable to repay their loans, the PCC chief stated.