Looting from even the begging bowls of the poorest, the Kerala govt has decided to charge 7.5 per cent commission of the total amount of loan dues to the government during the confiscation process.
According to the new draft pertaining to the cooperative sector, the cooperative banks and societies in the state will now have to pay the amount to the government.
The banks and cooperatives can later recover this commission charged from the defaulters. If these bodies fail to recover that amount through confiscation, then they themselves have to bear the losses.
Before initiating the confiscation process, the bodies need to seek the approval from cooperative registrar and list the details about loan dues. Rs 1,000 has been levied for this.
However, the new draft has replaced Rs 1,000 with commission rate.
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