SIBU: The activities of illegal online money lending syndicates are becoming increasingly worrying, as their tactics not only trap victims with unreasonable debts, but also involve serious criminal threats, including threats of harming family members and kidnapping.
This was revealed by the President of the National Consumer Action Council (MTPN) Sarawak Region, Lucas Lau, at a press conference here today (April 13), following a case involving a local businessman who has been a victim of the syndicate since January.
According to him, the victim had dealt with more than 70 different individuals via the WhatsApp application, before discovering that money totalling about RM700,000 had been deposited into his account without permission or consent.
“This is the syndicate’s cunning tactic. They deposit money without being asked, then force the victim to pay it back at an unreasonable interest rate,” he said.
The victim reportedly made payments of up to RM1.2 million, but the syndicate is still demanding the remaining debt of up to RM1.5 million.
The situation became more serious when, on April 10, the victim received threats, including threats to harm his family and kidnap his child if he failed to make further payments.
“This is no longer just a debt issue, but has escalated into serious crimes that threaten his life,” Lau said.
In a desperate situation, the victim sought help from MTPN Sarawak and was advised to file a police report immediately.
The situation became even more complicated when two men, believed to be from Peninsular Malaysia, came forward, supposedly offering assistance to settle the debt, but on the condition that the victim hand over his property title to them.
Acting on MTPN’s strategic advice, the victim cooperated with the police, which ultimately led to the arrest of the two suspects on April 11 at a restaurant here during a follow-up meeting.
According to a police statement, authorities also seized several items, including a mobile phone, an ATM card, cash, and a laptop, believed to have been used in the criminal activity.
The case is currently being investigated under Section 5(2) of the Moneylenders Act 1951 and Section 506 of the Penal Code.
Both suspects will be remanded to assist in further investigations.
Meanwhile, MTPN Sarawak informed that it receives complaints regarding similar cases almost every day, showing a very worrying increase in the trend.
“We do not want more families to become victims. Anyone can be trapped if they are not careful,” said Lau.
The public is advised not to be easily fooled by easy loan offers advertised on social media, especially those that are unlicensed or suspicious.
“Awareness is the main defence. Sharing information may be able to save a family from becoming a victim,” he added.
MTPN also urged the public to come forward to file a report if they are victims or have information related to the activities of this illegal loan syndicate.
Also present at the press conference were MTPN Women’s Development Bureau Head Datin Lily Toh, MTPN Sarawak Youth Chairman Councillor Sean Wong, MTPN Entrepreneur Development Bureau Head Malcolm Lee, MTPN Sarawak Regional Treasurer Alex Koh, MTPN Sibu Division Chairman Intan Asmida, and other members.
