The government has asked banks to keep vigil and inform their customers of fraud in Mudra loans. The directive follows multiple instances of frauds related to Mudra loans which have come to light. There have been reports of several unsuspecting small loan seekers getting duped by fraudsters impersonating as facilitators of Mudra loans.
Banks have been told to freeze the accounts of such firms or individuals who are reported to have committed such fraud and initiate action with the local authorities concerned, said a government official, who did not wish to be identified. “Also, all necessary action needs to be taken to protect the interests of borrowers, including helping them get their money recovered,” he said.
Source:
Economic Times
