(Friday, February 02, 2007)
New Straits Times
110 to be sued over study loans02 Feb 2007
KUALA LUMPUR: The National Higher Education Fund (PTPTN) will sue more than 100 defaulters on Monday, the final step in a long process to recover RM867 million in owed study loans.
More suits will follow later, promised its chief executive, Yunos Abdul Ghani.
The PTPTN will file suits against 110 among 1,000 delinquent borrowers who have ignored repeated reminders to repay loans since they graduated in 1999.
Yunos said he hoped to make this first group of debtors an example to the other 38,500 borrowers.
Among this first group of 1,000 delinquent borrowers, aged between 30 and 35, are doctors, lawyers and bank officers who draw monthly salaries of between RM3,500 and RM5,000.
These defaulters have been blacklisted, and their names listed in the databases of private credit-checking services CTOS and BRIS.
This is part of the tough action Yunos promised to take when he was appointed in November.
So far, 39 borrowers have been taken to court.
Up to November last year, PTPTN had disbursed RM11.5 billion in study loans for diploma and degree courses, and recovered just RM343 million since its inception in 1997.