Kalpetta: In the wake of widespread protests against the inhumane gesture, Kerala Gramin Bank said that it will correct its action of retrieving loans from the relief money given to those who lost everything in the Mundakkai-Chooralmala disaster. The bank said that the money has been remitted to the accounts of three people from whom the EMI amount has been deducted. 

The action comes following protest of youth organisations against its action. The bank's Kalpetta regional office was besieged by youth political organisations. 

Also, there are allegations that money has been deducted from more people, including plantation workers in the affected areas, by the bank. 

Meanwhile, the protesting youth organisations alleged that the bank is cheating people by returning the EMIs of only three people.

As soon as the amount of relief money of Rs 10,000 reached the accounts of the survivors, the bank deducted the EMIs for loans. 

Despite assurances from the state bankers' committee and the government that bank loans would not need to be repaid immediately, the amount was deducted.

Collector D R Meghashree, who is also the chairperson of the District Disaster Management Authority, had issued an order directing the bank to return the seized amount from Rs 10,000 given as relief money by the government to the affected people. The order calls for the return of all EMI deducted after July 30, when the landslide occurred. It has also been informed that no EMI or other payments of any kind should be deducted from the allotted amount. 

As the issue became controversial, the Collector issued the order on the instructions of Chief Minister Pinarayi Vijayan.

At landslide-hit Vilangad in Kozhikode as well, the Gramin Bank had deducted the money of a disaster survivor as loan repayment. The bank has informed that this amount will also be refunded amid protests..

The bank authorities debited Rs 15,000 as EMI from the account of Sijo Thomas whose livelihood business was ruined in the disaster. The EMI was deducted from the money given by a private person to construct a shop for Sijo whose shop was damaged. The EMI was debited on the evening of the same day the money reached his account. Sijo had lodged a complaint regarding the incident following which the bank officials informed him over phone that they will return the money.