Opinion - Letters to the Editor   

Bailing out UTI

Sir, — Your Editorial "A package for the oldest mutual fund'' (Sept. 3): It does not take into account the pain and anguish of investors like me, who for an investment of Rs. 20,000 in Unit Trust of India's MIP schemes, got in return as repaid principal only about Rs. 16,000 and, were bluntly told not to expect anything more, as they had already been cautioned in the applications-brochures that the "investments in mutual funds and securities are subject to market risks".

Though, somewhere in small print, in a lengthy brochure, there was this reference to "market risks", the UTI, on top of its brochures, in bold letters, should have stated: "you may not get your money back". Only that could have prevented people from being misled to invest in UTI schemes that gamble with people's money. The UTI, and institutions like it, should be wound up, for they operate on ``business principle'' that has been proved wrong, as this business of buying shares when cheap and selling them when dear, allegedly to reap profits, is highly "risky".

Any honest Government, committed to the good of its people, should order the summary closure of the UTI and all similar institutions so that people's hard-earned savings may not be subjected to any more risks.

K. Kumara Sekhar,
Eluru, A.P.

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