<h1>Karnataka to Resubmit Microfinance Ordinance 2025 with Revised Penalties; Aims to Curb Harassment and Suicides</h1> The Karnataka government will resubmit the Karnataka Micro Finance (Prevention of Coercive Actions) Ordinance 2025 to the Governor after addressing his concerns. The ordinance, aimed at protecting borrowers from harassment by microfinance institutions, includes penalties such as up to ten years in jail and fines up to Rs five lakh. The Governor returned it, citing excessive regulation and disproportionate penalties compared to existing laws. He suggested using current laws and advised a detailed legislative discussion. The government insists on the ordinance due to rising harassment and suicide cases linked to microfinance loan recovery practices.