10 lakh families to be freed from debt in first phase

Some political leaders are distorting the facts by suppressing scale of finance norms, says Parakala Prabhakar. Some political leaders were distorting the facts by suppressing scale of finance norms and creating misconceptions that the debt redemption was a myth, he said.

December 10, 2014 11:16 pm | Updated November 16, 2021 05:51 pm IST - HYDERABAD:

Countering what he called false propaganda by some political parties and a section of media about the implementation of debt redemption scheme for the farmers who availed crop loans, Parakala Prabhakar, Communications Advisor to AP Government, has clarified that every eligible farmer would get relief under the scheme.

Government uploaded the list of 20.79 lakh accounts of eligible farmers who had submitted their Aadhaar number, ration cards and land records. Of 32 lakh farmer families in the State, 10 lakh families, who availed crop loans, below Rs.50,000 would be totally freed from the debt in the first phase commencing from Thursday, he said.

“Every thing is done in a transparent manner and the list of eligible farmers is generated after running the software programme. There is no scope for confusion,” he said at a media conference here on Wednesday.

Some political leaders were distorting the facts by suppressing scale of finance norms and creating misconceptions that the debt redemption was a myth, he said.

The total crop loans up to Rs.1.5 lakh borrowed by a family through different bank accounts as on December 31, 2013 was considered for debt relief. In the case of gold loans too, scale of finance would be applied. If some one borrowed Rs.75,000 per acre, debt relief would be extended only as per scale of finance fixed for various crops and districts by the RBI. For instance, if the scale of finance for paddy is Rs.23,000 per acre, debt redemption would be only for that amount.

Citing some ineligible cases, he said the software programme threw up strange cases where one family with 43 accounts availed Rs.56 lakh loan. Another family with 15 accounts availed loan of Rs.75 lakh.

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