CM Shivakumar promises woman minister warns beneficiaries against meter-interest chit funds

    Bengaluru, Nov 6 (PTI) Karnataka Chief Minister D K Shivakumar on Friday said a woman would be inducted into the state Cabinet before the next session of the state legislature.

    Speaking at an interaction with beneficiaries of the Congress government's 'Gruha Lakshmi' scheme, he urged them to exercise caution in financial transactions and warned them against falling prey to exorbitant interest rates and chit fund schemes.

    "All these days, Laxmi Hebbalkar (Congress MLA) has taken the lead in addressing your concerns. She served for three years (as Women and Child Development Minister). Let's see, in the future, a woman minister will be appointed before the next Assembly session," Shivakumar said.

    "Whomever the high command nominates will be appointed as the Minister to look into your issues," he said.

    The CM, however, did not specify whether he was referring to the state legislature's winter session, scheduled to be held in early December.

    With no women represented in his Cabinet, pressure is mounting on Shivakumar to fill one of the two vacant berths with a woman minister. Shivakumar expanded his Cabinet on August 3 by inducting 19 ministers, taking its total strength to 33. However, following the resignation of B Nagendra, who was facing corruption charges, two berths are currently vacant in the Cabinet.

    Shivakumar expressed happiness that several women had utilised the Gruha Lakshmi assistance to start businesses, set up enterprises and support their children's education.

    Gruha Lakshmi is one of the five guarantee schemes introduced by the Congress government in Karnataka. It provides a monthly assistance of Rs 2,000 to the woman head of every eligible family.

    The other four schemes are Gruha Jyothi, Anna Bhagya, Shakti and Yuva Nidhi.

    He urged beneficiaries to furnish accurate details during the verification process, particularly their personal mobile phone numbers, to ensure they receive government communications directly.

    "Nearly 30 to 35 per cent of beneficiaries have provided mobile numbers belonging to other individuals. I urge them to furnish their own phone numbers. I am personally calling beneficiaries, interacting with them and conducting a survey to understand the problems they are facing," he said.

    Shivakumar said he had received complaints about deductions towards loan repayments from beneficiaries' bank accounts and was examining the issue.

    "Complaints have been received regarding loan deductions from beneficiaries' bank accounts. I am examining these issues and will take the necessary steps to address their concerns," he said.

    Noting that the Gruha Lakshmi scheme had completed three years, or 36 months, around Diwali, he said nearly Rs 7,000 crore had been released in a single day on Thursday.

    "I wanted to know whether beneficiaries were still facing any difficulties. Women have also shared their experiences about the benefits of the Shakti scheme (free bus service for women). I will interact with more beneficiaries and take appropriate measures based on their feedback," he said.

    Explaining his warning against meter-interest transactions, which involve lending money at exorbitant rates, Shivakumar said such practices were pushing vulnerable people into financial distress and, in some cases, contributing to an increase in crime.

    "Some people borrow Rs 2,000 in the morning while going to the market and end up paying exorbitant interest when they return the money in the evening. Such transactions can push people into serious financial difficulties and lead to an increase in crime," he said.

    He added that many victims hesitated to speak out against such practices and urged people to stay away from them.

    "People should not get involved in such transactions. We will create awareness among Gruha Lakshmi beneficiaries about financial dealings and caution them against falling into meter-interest traps. Strict action will be taken wherever necessary," he said.

    On chit fund schemes, Shivakumar cautioned beneficiaries against investing their money in them, pointing out that participants could lose their savings despite making regular payments.

    "There are several problems associated with chit fund businesses. Even those who make payments regularly until the end may not receive their money, resulting in legal complications. Therefore, I advise people to stay away from such transactions," he said.

    Appealing to women to spread awareness among their families and friends, he urged them to utilise the government's welfare assistance responsibly.

    "Do not use the Gruha Lakshmi assistance for meter-interest transactions or chit fund schemes. Use the money for productive purposes, particularly education and improving your livelihood. Create awareness among your husbands and friends as well. May your blessings continue to be with us. We will return to power in 2028," he added.

(This story has not been edited by THE WEEK and is auto-generated from PTI)