What is kurki, and why is it a big issue in Punjab?

Source: The post is based on the article “What is kurki, and why is it a big issue in Punjab?” published in Indian Express on 5th September 2022

What is the News?

A farmer in Punjab died by suicide. He had been sitting on a dharna outside the District Collector’s office against kurki orders for his land based on a court case filed against him by the local moneylender for defaulting on loan payment. 

What is Kurki?

Kurki means attachment of a farmer’s land, already pledged to the money lending institution or individual, in case of loan default. 

Apart from banks, private moneylenders, and commission agents also get these decrees against farmers from time to time.

How is the Kurki order executed?

Kurki orders are executed under Section 60 of the Civil Procedure Code, 1908. The land which is pledged by the farmer to the bank or moneylender gets registered in their name. In some cases, the land is auctioned as well.

The process begins after the money lender moves court to get kurki orders in case the farmer is unable to pay back his loan. 

Hence, in kurki, the attachment of the farmer’s land, as well as his tractor, can be done as per Section 60.

Is the Kurki system banned in Punjab?

A plea filed in the Punjab and Haryana High Court in 2018 sought a complete ban on kurki.

However, the Punjab government in its affidavit stated that there was no need to ban kurki as relief was being given to farmers in terms of loan waiver, compensation etc.

Moreover, it stated that Section 60 of Civil Procedure Code, 1908 – under which kurki takes place — was over 110 years old and needed a complete revision

What is the ground reality of the Kurki system in Punjab?

Farmers point out that they are made to give post-dated cheques for loans, which are then used to get arrest orders issued in cheque bounce cases. 

They have also accused money lenders of using pronotes signed by them to get kurki orders. “Pro-notes” (promissory notes) are written documents taken from farmers, and signed by them at the time of giving the loan.