The Kudumbashree Mission should not be misused for financial exploitation, Minister for Local Self- Governments A.C. Moideen has said.
He was speaking after inaugurating the ‘Muttathe Mulla’ small rural loan scheme here on Friday.
“We have noticed that small finance institutions are taking loans from Kudumbashree and distributing among people at higher interest rates. The government will not tolerate this. Liability created by micro finance firms for people by charging exorbitant interests for loans has become an issue in the State,” he said.
Unhealthy practices
The neighbourhood groups of Kudumbashree could resist such unhealthy financial practices.
Cooperative banks were a part of the country’s development. The cooperative banks had given ₹191 crore as loan during floods.
Under the Care Home Project, cooperative societies had built 500 houses so far. The money held by the cooperative societies was people’s money, he said.
The State government had distributed welfare pension for 55 lakh people before Onam, the Minister said. Around 4,17,000 workers would be given ₹1,000.
Flood relief
Eligible people, who still had to get ₹10,000 as flood relief, would be given the fund after verification, he said.
District panchayat president Mary Thomas presided. over the function.
Mayor Ajitha Vijayan was the chief guest. District Collector S. Shanavas distributed loans.
Thissur Joint Registar (general) T.K. Sathish Kumar explained the project.
