Maharashtra govt to make money-lending regulation law stricter to curb illegalities: Minister

Mumbai: The Maharashtra government has launched a statewide crackdown on unauthorised moneylenders, and it will make stricter the existing law that regulates money-lending activities in order to curb illegalities, a state minister told the legislative assembly here on Wednesday.

Minister of State for Home Pankaj Bhoyar said the Maharashtra Money-Lending (Regulation) Act, 2014, will be amended.

He was replying to a debate in the House on the incident in which a farmer from Chandrapur was forced to sell his kidney to repay Rs 8 lakh loan.


"The existing laws will be examined and the demand to book the accused money lenders under the stringent Maharashtra Control of Organised Crime Act (MCOCA) will be considered," Bhoyar said.

Six money lenders arrested in the case of the Chandrapur farmer, who was taken to Cambodia for removal of kidney, were all unlicensed, and orders have been issued to seize their properties, he said.

In the wake of the incident, a Special Investigation Team (SIT) was formed and it has been probing an international organ trafficking syndicate. It was found in the investigation that despite paying Rs 48.53 lakh against the principal amount of Rs 9.15 lakh, the victim was coerced into the organ trade.

"The racket extends to Trichy in Tamil Nadu and Phnom Penh in Cambodia. A middleman from Solapur is suspected of facilitating kidney sales for at least 10 individuals," he said.

Eight persons have been arrested so far, and the state has launched a statewide crackdown on illegal moneylenders.

He said three-member committees headed by the collectors have been set up in every district of the state to take action against illegal money-lenders, and these panels will have to give a report every three months to the government.