“For the first time in the history of Punjab, this reprieve is being extended to the underprivileged and weaker sections of society,” Mann said.
The loan waiver scheme worth Rs 67.84 crore has benefited around 4,800 families of loanees of the Punjab Scheduled Castes Land Development and Finance Corporation (PSCFC), the chief minister said.
On June 3, the Punjab Cabinet gave its nod to waive loans amounting to Rs 67.84 crore taken by over 4,000 Dalit families from the PSCFC.
Mann said the waiver covers all loans disbursed by the PSCFC up to March 31, 2020, offering significant relief to SC and Divyangjan (persons with disabilities) loanees.
The move will benefit 4,727 loanees for an aggregate amount of Rs 67.84 crore. The scheme will cover all the loanees, including 4,685 defaulting loanees and 42 regular loanees, government sources said.
Addressing the gathering, Mann said ‘no due certificates’ (NDCs) will be issued by the state government and the full amount of Rs 67.84 crore comprising principal, interest and penal interest calculated as of April 30, 2025, will be reimbursed to the PSCFC by the state government.
The loanees who previously availed benefits under the earlier waiver schemes are also eligible for coverage under this initiative, Mann said.
No recovery proceedings will be initiated against the loanees and their accounts will be considered fully settled as of the cut-off date, he added.
According to the 2011 Census, Scheduled Castes constitute 31.94 per cent of Punjab’s total population and many members of this community have availed loans from the PSCFC to set up self-employment ventures aimed at economic upliftment.
However, Mann said some borrowers were unable to repay their loans due to circumstances beyond their control, leading to defaults.
These families could not repay their loans due to circumstances such as demise of the main earning member, prolonged illness, or having no other source of income, etc.
Recovering these loans from such people was unjust, so the state government has decided to waive them, the chief minister said. PTI JMS CHS ARI ARI
