The CPI (M) and the CPI on Friday urged the State government to stop the State Bank of India from selling student loan Non-Performing Assets to Reliance Asset Reconstruction Company.
In similar statements, G. Ramakrishnan and Mutharasan, State secretaries of the CPI(M) and CPI respectively, said unemployed graduates had begun feeling the pressure from the private company, which had started issuing notices to them to repay the loan. The arrangement was such that the Reliance ARC took over the loans for 45 percent of the outstanding money, he said.
The parties further said the State should intervene immediately to take over these loans so that the borrowers, many of whom hail from economically weaker sections, are not pressurised by the company.
