Black-money holders adjust old currency against farmers’ loans

COMMISSION AGENTS, RICH TRADERS TAKE HELP OF FARMERS TO ADJUST DEMONITISED CURRENCY BY REPAYING FARMERS’ PENDING LOANS

KARNAL: While Opposition leaders allege that Prime Minister Narendra Modi’s decision of demonetising old `1,000 and`500 notes has affected the farming community, on the ground, black-money holders are reportedly adjusting their old currency in the loan accounts of small and marginal farmers, who are then paying off their pending debts.

As per reports, commission agents and rich traders are taking help of these farmers to adjust their demonitised `500 and `1,000 currency notes by repaying farmers’ pending loans.

Following the development, farmers have been approaching bank officials to pay their longpending loans as they say that it will help them to get their land back from the bank, which had been mortgaged several years ago. They add that after repaying the loan, they will become eligible to take fresh loan from the bank.

“It is true that the farmers, who have been declared as defaulters and after they failed to return their loans, are visiting us to deposit their pending loans,” said a field officer of State Bank of India in Kurukshetra district.

He, however, added that some farmers are not taking the benefit as they fear that the government may investigate their bank accounts and ask about the source of the money.

Speaking to HT, a farmer from Radaur of Yamunanagar district said, “A commission agent agreed to repay my loan of `2.70 lakh without interest, which has been pending for the past 10 years.” He adds, “I have J forms of about 3 lakhs and the bank officials agreed to provide me a fresh loan of `5 lakh on my agriculture land if I my pending loan is cleared within a week. This will also help me to pay `2.70 lakh to the commission agent.”

Fertilizer traders have also been asking farmers to adjust their money into their loan accounts. “We cannot disclose the entire money that we have. We are asking farmers to adjust the old currency notes as most of these farmers need money to repay their loans,” said a fertilizer dealer Rishi Kumar of Karnal.