From debt to death: A vicious circle of high interest rates, humiliation, helplessness

{ LOAN SHARKS PREY ON SOFT TARGETS IN CITY

- HT Correspondent

The dark world of money lending, harassment and humiliation has snared many businessmen asa disturbing pattern of suicides linked to mounting debt has shaken the city traders’ community.

In multiple recent tragedies, a businessman from the Chowk area killed his wife and minor daughter before allegedly taking his own life, unable to bear the pressure of spiraling loans of approximately Rs 50 lakh and relentless harassment from loan sharks.

Similarly, another 36-year-old realtor from Gudamba shot himself in his office. He also went live on Facebook right before the suicide and mentioned over Rs 15-crore debt and pressure from the creditors to repay the amount, failing which he went into depression. Likewise, a gas cylinder delivery man in the Sarojini Nagar area allegedly consumed a poisonous substance, reportedly under pressure of unpaid debts. The family told police that he had borrowed money from several individuals and was under tremendous financial strain.

In all the cases, the victims had borrowed money at exorbitant interest rates from private banks and even from private lenders operating outside the legal and regulatory frameworks, police officials familiar with the matter said.

These illegal moneylenders, often referred to as ‘sudkhors’, are known to use threats, public shaming, and violence to recover money.