Governor rejects microfinance ordinance proposed by Karnataka govt
Bengaluru(PTI): Governor Thaawarchand Gehlot on Friday rejected Karnataka Micro Finance (Prevention of Coercive Actions) Ordinance 2025 that the Siddaramaiah-led Congress government had proposed to regulate microfinance.
According to the Chief Minister's Office (CMO), the governor cited several reasons for his rejection.
Gehlot felt that the punishment of 10 years and fine of Rs 5 lakh proposed by the Karnataka government is excessive, said the CMO.
He was also of the opinion that the existing laws could have been used by the police department to control the situation, added the CMO.
As per CMO, the other reason given by the governor is that the ordinance is likely to have a negative impact on microfinance and this will ultimately affect the poor.
Aimed at protecting borrowers from harassment by microfinance institutions (MFIs), the Karnataka government drafted the ordinance with penal provisions, including a jail term up to 10 years, and fine of Rs five lakh for violation.
On February 4, Home Minister G Parameshwara told reporters that initially it was kept at three years but the government increased it to 10 years to ensure that the heat of the law is felt by the violators.
The government decided on promulgating the ordinance, in response to a spate of suicides and multiple complaints from various parts of the state against predatory loan recovery methods used by microfinance firms.
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M'luru: School physical education teacher’s body found under mysterious circumstances in well
Ullal: The body of a 51-year-old physical education teacher was found in a well at his residence in Kondana, under the limits of Kotekar town, on Friday evening.
The deceased has been identified as Prabhakar Jogi, who was serving as a physical education teacher at the Government School in Kallarakodi, Naringana village. Police suspect that he may have died by suicide, allegedly due to health-related issues.
According to police, Prabhakar had dropped his daughter at Uchila School earlier in the day for the school anniversary programme and returned home.
He was later preparing to attend the same event along with his wife and son, when he suddenly went missing. A search was launched by family members, following which his body was found in the well located at his house.
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Police said that Prabhakar Jogi was reportedly suffering from a neurological disorder. He had served in several schools across Ullal taluk and was actively involved in organisations of physical education teachers.
Ullal police visited the spot, conducted an inspection and sent the body for post-mortem examination.
In his complaint to the police, Prabhakar’s son, Sai Tejas, stated that his father had jumped into the well and that there was no suspicion surrounding the death.
Based on the complaint, a case has been registered and further investigation is underway.
