Another court to try cases against finance firms

By Our Special Correspondent

CHENNAI, AUG. 21. The State Government is considering setting up another special court to deal with economic offences cases against finance companies which duped depositors.

The delay in the depositors getting back their money is being attributed to tardy court proceedings. Hence, the government is contemplating setting up a court, in addition to the existing special court, the Finance Minister, Mr. C. Ponnaiyan, told the Assembly today. As many as 417 cases had been registered against finance companies till last June, and of these 190 were under probe and 97 pending in courts. While over 10 lakh depositors had filed complaints against the companies, about Rs. 253 crores was returned to them. A sum of Rs. 1,554.99 crores was yet to be retrieved.

The special court had awarded 10-year rigorous imprisonment to proprietors of seven companies, while in 54 cases the verdicts were yet to be delivered.

To a question on the popular form of usury in rural areas- ``kandhu vatti and meter vatti''- the Minister said the police would initiate appropriate action to curb such illegal practices of providing loans at exorbitant rates.

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Section  : Southern States
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