40 million baht illegal online lending operation busted

An illegal lending business that raked in over 40 million baht in just 3 months by gouging people in desperate financial need with high-interest rates has been broken up. A Chinese man was arrested in Bangkok for running the loan shark operation online.

The man identified by the Metropolitan Police Bureau as Jia Liew was arrested in Huai Khwang in a condo unit according to ta press briefing held yesterday. The MPB commissioner said the Chinese man confessed to running a few online lending apps including one called Cash and Go that charged excessive interest rates to needy customers.

Borrowers were charged up to 234% interest per month for the loans and those unable to repay were hounded with harassment and humiliation. Meanwhile, Jia raked in cash so quickly that he hired people to handle the loans and transactions and open bank accounts in order to move the money.

The Chinese man appeared to be working with international financial backers supplying the capital for the predatory lending. He collected all the income generated from the high-interest rate loans and convert the cash into cryptocurrency or digital assets and transfer those assets to the Chinese financiers.

The man has now been charged with running a personal loan business without permission as well as threatening to harm others, damaging others’ property, and harming others.

SOURCE: Bangkok Post