Implement Pavala Vaddi to control MFIs: Yanamala

Former Speaker and senior Telugu Desam Party leader Yanamala Ramakrishnudu on Wednesday demanded implementation of Pavala Vaddi scheme for the loans sanctioned by microfinance institutions.

Talking to media persons at NTR Trust Bhavan, Mr Ramakrishnudu said the TDP was not against Micro Finance Institutions, but it wants steps to regulate their abusive and arm-twisting measures in the recovery of loans from hapless women and rural folk.

As the MFIs are charging exorbitant interest rates, the TDP leader said the TDP wants RBI intervention to regulate their interest rates.

Since the government has no control on MFIs interest rates, Mr Ramakrishnudu urged the state government to implement pavala vaddi scheme for the loans sanctioned under MFIs.

He criticized Prime Minister Manmohan Singh for not giving appointment to Telugu Desam Party president N Chandrababu Naidu to raise state problems during his visit to state on Tuesday.

The former Speaker alleged that both Centre and state governments’ have no commitment to redress the problems of people and were playing a game of Musical Chairs with them.

He demanded CBI inquiry into alleged land dealings between APIIC and Emmar Properties, which caused thousands of crores of rupees loss to state exchequer.

Another senior leader Umareddy Venkateswarlu also criticized Chief Minister K Rosaiah for making derogatory statements against Opposition leader N Chandrababu Naidu over the visit the PM to the state.