TN farmer dies after being unable to withdraw money from bank account frozen for loan default

COIMBATORE: A 53-year-old farmer at Kullampalayam village in Tiruppur succumbed in a private hospital on Friday allegedly after he could not withdraw money from his savings account for treatment as the nationalised bank froze it without prior notice for defaulting on a crop loan of Rs 75,000 availed by his father.

According to sources, the deceased R Kanagaraj owns around five acres of land in Kullampalayam village near Vavipalayam in Tirupur. He is survived by his wife and two daughters.

He underwent a kidney transplant six years ago and had been on dialysis, sources said and added that Kanagaraj had Rs 1.5 lakh in his frozen account.

It is said that in 2014, Kanagaraj's father Rangasamy borrowed a crop loan of Rs 75,000 from a nationalised bank at Kethanur through the former's account. Rangasamy's death in 2017 led Kanagaraj to act as surety for his father's debt.

Speaking to The New Indian Express, Kangaraj's brother R Narayanasamy (56) said, "My brother had assured the bank that he would settle the loan borrowed by his father in installments. But, he was unable to settle the debt due to medical expenses for his dialysis, followed by Covid-induced lockdown."

Narayanasamy claimed the bank had recently frozen Kanagaraj's account without prior notice. "After his account was frozen, he went to the branch and pleaded to reactivate it by showing his medical documents. However, the bank authorities did not oblige," he added.

Following this incident, Narayanasamy said Kanagaraj was in mental agony and was admitted to a private hospital in Coimbatore in June.

NSP Vetri, the working president of Katchi Saarpatra Tamizhaga Vivasayigal Sangam, said, "After Kangaraj's admission to hospital, we approached the branch to reactivate the account. The bank manager Sundaramoorthy had assured us to do it once we threatened to stage a demonstration in front of the branch."

He claimed Kanagaraj's family could not withdraw money from his account even after several representations were given to the bank for reactivating it.

However, the Lead District Manager of Tiruppur, Alexander T, said, "I contacted the concerned branch and was told that they had released the freeze on Kanagaraj's account. This was done after a few members of the farmers association went to meet the branch manager. Maybe the family might have not withdrawn the money."

Alexander said the concerned bank authorities were directed to check what they could do now so that the kin could access the money.

Tiruppur District Collector S Vineeth told The New Indian Express that he would look into the issue.