What does Mukadam do in villages?

Mukaddam is a person who acts as an agent and does the money lending activity for the people who are in urgent need of money. As an agent, he also arranges people to work in various sugarcane factories in and around the villages. As part of money lending, mukaddam usually tries to increase the rate of interest which reduces the surplus amount of a farmer. This in turn forces farmers to migrate to urban areas to earn and pay back their debt

Therefore, The correct answer is option (1).