BENGALURU: Several Bengaluru schools have raised allegations of harassment by an NBFC (Non-Banking Financial Company), for non-payment of loans as they have been affected by the pandemic.
While two schools have come forward with allegations, they say that multiple schools, especially in Devanahalli and Anekal taluks, have been suffering from continuous harassment from Bengaluru-based NBFC Varthana Finance, a school loan provider, also known as Thirumeni Finance.
Principal of SK Public School, Ajjappa said, “There are several schools like ours, that have taken loans before the pandemic, but due to the lockdowns, classes have moved online and there has been a drop in student enrolment. This has led to a fall in the school fees collection. Due to this, we have been unable to keep up the monthly payments.” Another school, part of St Mary’s Educational Society, has written a letter to the Karnataka Associated Management of Schools (KAMS) on the harassment faced by them.
Following non-payment of loans, the NBFC had attempted to auction the mortgaged land, but it failed to attract buyers. KAMS has written to the Chief Minister Basavaraj Bommai seeking his involvement by convening a meeting with the private loan companies and also to ensure protection of the educational institutions.