Telangana: Bank officials seize gate of loan defaulter’s house
DCCB officials in Edunuthula seized a house gate over a Rs 6 lakh loan default, sparking outrage and calls for legal action
By : Puli Sharath Kumar
Update: 2025-02-13 16:34 GMT
Warangal: In an unconventional loan recovery move, officials from the District Cooperative Central Bank (DCCB) seized the gate of a loan defaulter’s house in Edunuthula village after borrowers defaulted on a Rs 6 lakh loan taken in 2021.
The loan, secured by guarantees from villagers Narsaiah and Sampath for two Self Help Groups run by M. Prema Latha and M. Kalamma, was meant for buying buffaloes. When the animals failed to produce milk, repayments stalled, prompting repeated warnings from the bank.
Frustrated by the lack of response, bank officials arrived on Wednesday with a tractor. Although some funds were eventually paid and time requested by Prema Latha, the officials forcibly removed the gate of Kalamma’s house with the help of the tractor.
A video of the incident quickly went viral on social media, sparking outrage among locals who are now calling for legal action and stricter regulations on debt recovery practices.