PUBLISHED ONAugust 06, 2026 10:27 AMBYSean LerA total of 25 people, aged between 13 and 69, were arrested for their alleged involvement in a large-scale loanshark syndicate which purportedly extended credit of over HK$200 million (S$32.9 million) to more than 2,000 borrowers.
Hong Kong police said on Thursday (Aug 6) that the 20 men and five women, including four students, were arrested during a two-day operation that ended on Wednesday.
Among those arrested were also people with triad backgrounds, the police added.
Superintendent (Supt) Lo Ka Chun of the Organised Crime and Trade Bureau said cash totalling HK$1.94 million was seized at a Mong Kok office, while about HK$8.4 million in illicit funds held in bank accounts allegedly linked to the syndicate and its core members have been frozen.
He added that large volumes of personal information were also found at two call centres, and it is believed that it was used to target victims to promote loan schemes and collect debts.
Preliminary investigations revealed that the syndicate had operated under the guise of a licensed moneylender, luring victims with assurances of "instant approval" and not requiring any proof of income.
Victims were purportedly charged an upfront administrative fee of 20 per cent, while also imposing high annual interest rates.
Illustrating this, police said when a victim receives HK$12,000 for a HK$15,000 loan, he is also required to make five biweekly repayments of $3,180, effectively paying an annual interest rate of 282 per cent.
Those who fail to make timely repayments are allegedly charged "penalties" of as high as 800 per cent of the original loan amount.
Asked how the four students became involved in the syndicate, Supt Lo said that they had seen advertisements on Telegram and social media promising "quick cash opportunities".
He also urged members of the public not to borrow from unlicensed moneylending institutions as falling for loanshark traps could lead to endless debt.
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