Last week, the Economic Times published a report titled How top 3 Microfinance companies raised funds in the name of poor? The report highlighted facts about three of India’s largest micro finance companies that is known to most micro finance professionals in India.
Vikram Akula Vs Economic Times
The report was initially titled Uplifting promoters in the name of downtrodden. This was subsequently changed to How top 3 Microfinance companies raised funds in the name of poor? as cached copies in the Google index confirm here. The above article was also accompanied with another article on Mr Udai Kumar of Share Microfin.
Subsequently Vikram Akula responded to the article and his response has been published under the title ET Investigation: Vikram Akula clarifies and our response.
MFIN Proble into MFI’s
In light of all these developments, MFIN has announced that it has formed an independent panel to probe the allegations of undue profits made by promoters of micro finance institutions (MFIs) when they were converted to NBFC-MFIs from NGOs. The proble will initially cover SKS Microfinance, Spandana Microfinance and Share Microfin and will also probe connected matters such as accounting practices, valuations and governance.