Dec 3, 2008 By SYLVIA LOOI
IPOH: There more than 2,000 Perak government study loan defaulters, some stretching back to the loan’s inception in 1973, owe the state about RM19mil.
“Efforts had been made to get the defaulters to pay up, but they have chosen to ignore the notices of demand,” Perak Mentri Besar Datuk Seri Mohammad Nizar Jamaluddin told reporters after presenting loans totalling RM2.5mil to 136 students at the State Secretariat here on Wednesday.
They should approach the state if they have problems settling the loan, he said, noting that the terms of payment were flexible and no interest was charged.
“As they refused to pay up, the state had to turn away 20 loan applicants wanting to take up post-graduate studies,” he said.
He said the state had since 2006 sent out legal notices to 2,372 study loan defaulters.
“Some of them paid up immediately on receiving the notices, but the majority did not,” he said, adding that the defaulters were businessmen or those holding high positions in companies.
Since the inception of the loan, the state had disbursed RM54mil loans to 5,243 students.
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