Since it is the RBI that regulates microfinance, no state government, far less a district official, has the power to suspend such commercial transactions between a private lender and a borrower. If more microfinance borrowers get into distress, this is bound to increase political and state government pressure to ensure more effective regulation that protects the interests of borrowers (who are all voters). The credit history of more than sixty million microfinance borrowers (apart from other borrowers) is one of the big achievements that India has, and this should be used by the RBI in any regulation.