Bengaluru, Feb. 11 -- The Karnataka government has sent back the Karnataka Micro Loan and Small Loan (Prevention of Coercive Actions) Ordinance, 2025, to Governor Thaawarchand Gehlot with clarifications after he returned it last week, citing concerns over certain provisions.
The ordinance proposes stringent penalties to curb coercive recovery tactics employed by money lenders, which have been linked to a series of suicides in the state. The law aims to prevent criminal intimidation and other forms of pressure exerted on borrowers for loan recovery.
Governor Gehlot had returned the ordinance on February 7, directing the state government to reconsider its provisions. However, the government has decided to send the ordinance back without mod...