The Lok Satta Party members laid siege to a nationalised bank branch situated on Avinashi Road near Bungalow stop and also staged a sit-in protest inside the bank on Friday alleging lethargy in disbursal of education loan to an applicant.

Lok Satta Party State organising secretary S. Eswaran said the applicant, V. Pravish, had sought loan for his MBA (Shipping and Logistics) offered by an institute in Coimbatore district, which, according to the official letter from Bharathiar University, is the varsity’s ‘approved partner’ under its Centre for Participatory Programme.

“Despite into the third semester of his studies, Pravish is yet to get a loan from the bank. Since service-area approach is followed, the applicant can not go to any other bank,” he pointed out.

The Lok Satta Party members, as well as parents of Pravish, alleged that the bank was blindly rejecting their applications citing flimsy excuses despite the intervention by district administration and Lead Bank. The chief manager of the bank defended the decision of the bank’s regional office in Coimbatore rejecting the loan application stating that the said course was not recognised by the Director General of Shipping.

The official’s version was ridiculed by Pravish’s father R. Vijayarajan and Lok Satta Party members and they produced the photocopies of the documents sanctioning loan by two other nationalised banks to the classmates of Pravish.

“If those financial institutions can give loans how this bank can ask for Director General of Shipping’s recognition,” asked the Lok Satta Party men to the manager.

The bank officials, finally, agreed to receive a fresh requisition from the applicant asking him to incorporate the documents showing the issue of loans by other banks for the same course. “The chief manager has agreed to give a reply in a week’s time,” Mr. Eswaran said.