Loan apps scam: Cops arrest Chinese national, detects ₹21,000 cr worth transactions – The Hindu BusinessLine

Clipped from: https://www.thehindubusinessline.com/money-and-banking/loan-apps-scam-cops-arrest-chinese-national-detects-21000-cr-worth-transactions/article33464436.ece

The fraud came to light when five borrowers committed suicide, unable to bear the harassment by the recovery agents.

Online instantly loan app fraud getting murkier with Telangana police detecting transactions worth ₹21,000 core.

The accused, Zhu Wei (27) alias Lambo, hailsa was head of operations for Aglow Technologies Pvt. Ltd., Liufang Technologies Pvt. Ltd., Nabloom Technologies Pvt. Ltd., and Pinprint Technologies Pvt. Ltd., all instant loan app companies.

Preliminary investigation

Additional Commissioner of Police (Crimes and SIT) Shikha Goel told newspersons that the preliminary investigation have revealed that close to 1.4 crore transactions worth ₹21,000 crore have taken place so far through these app-based loan companies

“These volumes of transactions have happened over payment gateways and bank accounts linked to these companies and a large number of international transactions have also happened through bitcoins,” she said, adding that the bulk of transactions have taken place over the last six months.

The online instant loan app fraud has come to light when five borrowers committed suicide unable bear the harassment by the recovery agents.

According police, there are over 72 apps which are lending money online without proper approvals from Reserve Bank of India and mandatory tie-ups with banks and registered NBFCs.

Already police registered over a dozen cases on fraudulent companies and further investigation is on.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s