The Supreme Court on Monday ordered a stay on the Madras High Court directive asking the Tamil Nadu government to extend its crop loan waiver scheme to all farmers, including those with landholdings above five acres.
The apex court’s move is a setback to the Tamil Nadu farmers who had earlier agitated in Delhi for loan waiver and demanded drought relief to the tune of Rs 40,000 crore.
The Madras High Court, in April this year, had directed the government to provide full waiver, irrespective of their land holdings.
In April, several farmers from Tamil Nadu protested at Jantar Mantar demanding waiving off the loans.
In a brief hearing, a bench headed by Justice M B Lokur stayed the high court order and issued notices to the National South Indian River Interlinking Agriculturist Association that had sought the debt waiver
The stay brings relief to the Tamil Nadu government that had argued that the aim was to provide relief only to small and marginal farmers. The government had taken the decision after considering vital parameters — budgetary allocation, revenue mobilisation, the position of the farmers viz-a-viz their land holding and other considerations, said officials.