LANDI KOTAL: The local political administration on Wednesday imposed a ban on usury.

According to a political administration notification, whose copies were pasted at prominent places of Landi Kotal Bazaar, first Islam bans usury and second, usury leads to monetary disputes and prolonged litigation.

The notification said the administration won’t entertain any case of the lending of money at unfairly high interest rate.

It added that Islam prohibited its followers from carrying out un-Islamic and coercive methods of trading and therefore, usury wouldn’t be allowed in the area.

The notification said the administration won’t proceed against relatives of those dealing in the un-Islamic mode of business and instead, only those found guilty of the act would face the music.

The notification was issued after local residents formally complained against some tyre dealers and transporters about involvement in usury.

A local official said in most cases, borrowers were unable to pay back the money within the stipulated time and thus, prompting lenders to either mortgage the borrowers’ property or file cases against them with the administration.

He said mostly, lenders named relatives of borrowers in the case and try to influence the administration to force them (relatives) to pay back the money.

The official said litigation in usury-related cases was not only waste of time but also caused bloody clashes between the relevant parties.