India: Banks Hire Criminals, Torture to Recover Loans
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India: Banks Hire Criminals, Torture to Recover Loans

Indian Statesman | August 29 2005

BHUBANESWAR, Aug. 28. — Alleging that a few private financing companies and cooperative banks are engaging criminals for recovery of loans from their clients, Jana Chetana Manch has urged the government to take strong actions against such criminals.

Talking to reporters here yesterday, Manch convenors, Mr Lenin Mohanty and Mr Utpal Bhagat alleged that a few private sector financing companies had engaged criminals for recovery of loans without having a proper method of redressing the grievance or without taking legal recourse.

Citing the names of two national private financing companies, they claimed that a few senior retired police officials were on the pay roll of these companies and they were forcing the local cops to support the illegal activities of the recovery squad.

Even one of these companies has a “torture chamber” where they detain innocent people and coerce them to pay or do whatever they like. Another bank deliberately gives its agencies to persons having criminal track record and even to the persons booked by the economic offence wing of the crime branch, claimed the Manch activists.

Stating that the trend also continues with cooperative banks, they alleged that a Bhubaneswar-based cooperative bank was resorting to vandalism in the name of collection of dues. The bank was engaging eunuchs and lepers who were asked to dance and create ruckus in front of the office premises and residences of customers. Two victims, DK Gochhayat and Sk Anawar narrated how they were manhandled and threatened by the persons hired by the bank





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911:  The Road to Tyranny