With no relief in sight for the Tamil Nadu farmers, Supreme Court on Monday put a stay on Madras High Court order of waiving off the loan taken by the farmers in the state.
The decision comes after Madras HC in April in a directive asked the Tamil Nadu government to waive the agricultural loans of the farmers in the state.
Madras HC had ordered the co-operative banks in the state to waive off farmer loans following the severe drought situation.
Thousands of Tamil Nadu farmers had protested in the capital seeking drought relief package of Rs40,000 crore from the Centre.
The decision comes at a time when most of the state governments have given a waiver to the struggling farmers amid the drought situation.