After Hazaribagh incident, Mahindra vows to review practice of using third-party collection agencies

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Hours after the Hazaribagh incident came to light, where a farmer’s daughter was reportedly mowed down by loan recovery agents working on behalf of Mahindra Finance, the group CEO and MD has issued a statement. Mahindra Group's Anish Shah posted a note on Twitter, where he assured all support to the authorities during the investigation. He also said the company will review the practice of using third-party collection agencies, that has been in existence.

According to reports in the regional media, the daughter of borrower Mithilesh Mehta - a farmer who had availed a loan from Mahindra Finance to buy a tractor - died after a recovery agent allegedly ran the tractor over her. She reportedly had sought the identity of a so-called Zonal Manager of the company, and resisted when they wanted to confiscate the tractor over non-payment of instalments. The note posted by Anish Shah said the company will investigate the incident from all aspects. The deceased was reported to have been pregnant.

The statement by Anish Shah, MD & CEO, Mahindra Group read: “We are deeply saddened and disturbed by the Hazaribagh incident. A human tragedy has occurred. We will investigate this incident from all aspects and will also undertake an examination of the practice of using third-party collection agencies that have been in existence.”

It added: “We will extend all possible support to the authorities during the investigation into this tragic incident, and above all, we stand with the family in this moment of grief.”