Micro finance company booked under new ordinance in Udupi

Mangalore Today News Network

Udupi, March 3, 2025: The Udupi Town Police have booked a micro finance company based at Surathkal for harassing a man and his daughter for repaying the loans borrowed under the newly framed ordinance of the state government.

In a complaint, Shamshad (53) from Bailuru Korangrapadi village, along with his daughter Shahnaz, had availed a loan of Rs 30,000 each micro finance institute in Surathkal. They had been regularly repaying the loan instalments through Google Pay. However, due to recent financial difficulties at home, the complainant and his daughter were unable to make timely payments, resulting in overdue instalments.

The finance company representatives frequently visited their house, pressuring them to repay the loan amount along with high-interest charges. Despite requesting more time to make the payments, the finance company refused to grant an extension.

On February 25, one of the finance company staff members illegally entered the complainant’s house, verbally abused both the complainant and his daughter with offensive language, and threatened their lives.

A case has been registered at the Udupi Town Police Station under sections 8, 12 of The Karnataka Micro Loan and Small Loan (Prevention of Coercive Actions) Ordinance, 2025 and sections 329(4), 351(2), 352 of BNS.