17 people arrested in instant mobile loan app fraud
3 centers in Hyderabad employed nearly 600 pagers; these companies received instructions from their bosses in Jakarta
In swift action, police in Hyderabad and Cyberabad on Tuesday arrested 17 people, including several heads of app-based instant loan companies, for their role in lending money at a high interest rate and the harassment of defaulters by coercive methods.
Responding to a wave of complaints from debtors, allegedly harassed by lenders, police in nationwide raids have picked up promoters of several of these online lending companies and their call centers.
Hyderabad Cybercrime Police raided two locations in Udyog Vihar in Gurugram and three locations in Hyderabad, resulting in the arrest of 11 people working for Liofang Technologies Private Limited, Hotful Technologies Private Limited, Pinprint Technologies and Nabloom Technologies Private Limited.
The four companies registered in Bangalore have been used to persuade, harass and intimidate defaulting debtors at different stages, said Police Commissioner Anjani Kumar.
While the three centers in Hyderabad employed nearly 600 pagers, the centers in Gurugram had more than 500 people, all between the ages of 18 and 22.
Explaining the overseas ties of these companies, which appointed Indian nationals as mock directors at the request of the Chinese, the city’s police chief said the companies were receiving instructions from their bosses in Jakarta, Indonesia. .
“The entire operation of these loan applications seems to be handled by Chinese nationals at the helm. The same was reported during the investigation of the color prediction game apps scam in which millions of rupees were transferred to shell companies, which were registered as NBFCs, ”Mr. . Kumar.
Police seized more than 700 laptops, servers, computer systems and other electronic devices from call centers in both locations.
Stating that they would focus more on the network of financial transactions, funding and technology base, Joint CP (Detective Department) Avinash Mohanty said they were analyzing the data as part of a back-up process.
Unlike the gambling scam in which Chinese nationals were directly involved, they skillfully managed to keep Indians out as the business led to distract from law enforcement agencies, he said. -he declares. Declaring the operation of the apps as a “typical financial fraud,” Mr Mohanty said the call centers in question worked for 30 apps and that the police controlled 10 bank accounts and 70 to 80 online wallets of those companies.
Earlier, Cyberabad police announced the arrest of six people, including the CEO of an app-based instant lending company, for their “illegal” operation and borrower fraud. 18 bank accounts of the accused companies with a deposit of 1.52 crore yen have been frozen, said police commissioner VC Sajjanar. He stated that Cash Mama, Loan Zone, Dhana Dhan are some of the loan apps developed and operated by K. Sharath Chandra of Onion Credit Pvt. Ltd., which also owned CRED FOX Technologies Pvt. Ltd.
Chandra opened two offices with 110 employees, and her elderly mother Pushpalatha, who was also arrested, was one of the directors. His companies made deals with nine Delhi-based NBFCs for Cash Mama and Loan Zone, while Dhana Dhan’s operations were illegal, DCP (Crimes) Rohini Priyadarshini said.
They have over 1.5 lakh of clients and at least 70,000 active clients from all over the country with an annual turnover of over 40 crore.
Chandra, who continued her education in the United States, started app development companies two years ago, after working as an accountant at a private company here. Police have also issued notices to all NBFCs and their CEOs. Google has been asked to remove the apps due to their criminal activities.