The Government has given loan defaulters under the Micro Finance and Small Loans Scheme up to the end of this year to settle their indebtedness or face legal action. Chief Executive Officer of MASLOC, Bertha Ansah-Djan, said those who fail to meet the December 31 deadline will be processed for court to recover the money. Only 6.3 percent of about GH¢5 million disbursed to individuals between 2007 and 2008 has been retrieved, leaving a whopping 93.7 percent in the hands of defaulters. Officials say the situation is crippling the scheme and denying others access to credit. The Micro and Small Loans Scheme was introduced by the Kufuor-led New Patriotic Party administration to provide soft loans to petty traders and small business operators as part of efforts to reduce unemployment and poverty. Majority of beneficiaries have however refused to repay the loans. Under the micro credit scheme, 149,690 groups have received assistance, while 7,122 individuals benefited from small loans both totaling GH¢48,585,757. Out of the figure, GH¢1,343,092 was collected over the period. Madam Ansah-Djan blames the situation on political interference. In an interview with Nhyira FM’s Kofi Asante, she said taxi drivers are the biggest defaulters. “We have given them one month so our next move is to start seizing the taxis and prosecuting the ones that probably had gone and hidden the taxis. You are sure that we would prosecute even our own members,” she said. The MASLOC boss warned defaulters not to hide behind the excuse that the funds were for free. She said whilst the loan scheme cannot be collapsed, defaulters must ensure they settle their debts. “We cannot come and then dissolve MASLOC. Then it means that we must, as well, throw away our party,” she said. Story by Kofi Asante/Nhyira FM