259
Thus, about 85 per cent, of the total sum advanced
during the last ten years is for productive purposes.
Debt-redemption : A minute scrutiny of the above
table shows that the Society has done another piece of
valuable work in the interest of its members. It is that
it has advanced the largest amount of loans for the re-
demption of old debts. The actual sum thus utilised is
Rs. I9423 out °£ Rs. 69139, the total loan advanced dur-
ing the last decade. Old debts, as we have already noted,
act as a dead-weight on the energy and enterprise of the
farmer and obstruct all kinds of progress. The Society
undertook to work out a scheme of debt redemption in
the year 1918-19. Ever since that time the scheme has
been zealously pursued. Its success is obvious from the
fact that out of 43 families who were granted loans of
more than Rs. 100 each by the Society for the redemption
of old debts, 33 or 76 per cent, are at present living in a
sound economic condition.
It is interesting and instructive to study the way in
which the scheme was worked. The chairman of the
Society, Mr. Manibhai, persuaded the sowkars of
some of the members of the Society to give him an account
of their dues from the latter. He then got the sow-
kars to accept a lump sum in settlement of the loan, which
would be less than the amount legally due. It was
always argued that the sowkar was the richer man who
could forego a few rupees due from his debtor. In four-
teen cases, which we carefully went through, we found
that only Rs. 4155 were paid though the total dues claimed
amounted to Rs. 6779.
THE CAUSE OF THE SUCCESS OF THE SOCIETY
This discussion of the working of the Society leads to
the conclusion that it has been a great success. The
main cause of this success is a policy of cautious finance
and vigilant recovery. As a rule, loans are not given by
the Society for unproductive purposes. When it gives,
33*