LIC sends loan recovery notice to COVID orphan, FM Nirmala Sitharaman intervenes

Vanisha's father Jitendra Pathak was working as an LIC agent and had taken a loan from LIC. However, since Jitendra's death, LIC has issued several notices to Vanisha to repay the loan of Rs 29 lakh warning that legal action would be taken if the loan was not repaid.

Bhopal: Authorities in the Life Insurance Corporation of India are issuing continuous notices to a girl in Madhya Pradesh capital Bhopal who lost both of her parents to COVID last year over repayment of the loan taken by her father. Union Finance Minister Nirmala Sitharaman has intervened in the matter to give the girl temporary relief. The parents of 17-year-old Vanisha Pathak died of corona in May last year leaving Vanisha and her 11-year-old younger brother in the care of their uncle.

Vanisha, who was devastated by the loss of her parents, topped the Class X examinations last year with 99.8 per cent marks. Vanisha's father Jitendra Pathak was working as an LIC agent and had taken a loan from LIC. However, since Jitendra's death, LIC has issued several notices to Vanisha to repay the loan of Rs 29 lakh warning that legal action would be taken if the loan was not repaid.

The LIC has blocked commissions, savings and policies in Jitendra's name as Vanisha and her younger brother are minors. All those savings will be transferred to Vanisha after she turns 18. Vanisha had written a letter to LIC authorities asking them to give her time to repay the loan, but to no avail. Union Finance Minister Nirmala Sitharaman took to Twitter to respond to news articles about Vanisha. The Union Minister directed the Financial Services Department, LIC India, to take immediate action in this regard.