Kerala Police Register Case Against InstaPay Loan App Over Student's Death

Police in Kannur, Kerala, have registered a formal case against the digital lending platform InstaPay following the suspected suicide of Nithin Raj, a dental student at Anjarakandy Kannur Dental College. The First Information Report (FIR) alleges that agents from the app subjected the student to sustained mental harassment and intimidation through repeated threats demanding loan repayment. Nithin had borrowed ₹15,000 in January 2026 at an alleged interest rate of 36%, which violates existing state laws regarding exorbitant interest charges. The case invokes stringent legal provisions, including Section 308 of the Bharatiya Nyaya Sanhita and sections of the Kerala Money Lenders Act. This incident has triggered indefinite protests on campus, with students also alleging harassment by a faculty member, Dr. M.K. Ram, who has since been terminated. The Health University has launched an inquiry into institutional lapses. The case highlights the growing threat of predatory loan applications in India and the severe psychological impact of aggressive debt recovery tactics on young borrowers, leading to significant social unrest and demands for accountability within the educational institution.