Lockdown effect: 30000 auto seized by financiers over non-payment of EMIs in Bengaluru

Team Udayavani, Sep 28, 2021, 11:30 AM IST

Bengaluru: During the Covid-19 lockdown, shops and small businesses were shut and MNCs embraced the work from home culture due to which the auto-drivers in the city were struggling to make ends meet as they rely upon their daily income.

At least 30,000 auto-rickshaws in Bengaluru were seized by private financiers as the owners defaulted on paying EMIs.

C Sampath, president of the 14,000-strong Adarsha Auto Union said that they requested the government to waive off the vehicle loans as the private financiers were waiting to confiscate the autos. But, there was no response.

He further said that before Covid-19,  1.45 lakh auto-rickshaws were running in the city, but the number has now reduced to half. Many converted their rickshaw into vegetable or fruit selling outlets.

Sampath said that at least 16 drivers had died during Covid. The government had said to give an ex-gratia of Rs. 1 lakh to the deceased, but there is no sign of it. The government is now demanding BPL cards to give the amount.

Also,  auto-drivers who somehow managed to pay their EMIs had no money to renew their first-party insurance which ranges from Rs 7,000 to 8000. Hence, getting permits, fitness certificates also became a challenge.

However, several NGOs came forward to help them and donated ration kits and essential supplies during the lockdown.