98 people under investigation for unlicensed moneylending activities: Police

Ninety-eight individuals are being investigated for their suspected involvement in unlicensed moneylending activities, the police said on Monday (Sep 7).

The suspects, aged between 17 and 78, were caught during a seven-day island-wide operation between Aug 25 and 31.

The operation was conducted by officers from the Criminal Investigation Department (CID) and the seven police land divisions.

Among those being probed, preliminary investigations suggest that one had operated as an unlicensed moneylender, while seven others allegedly harassed debtors at their residences.

There were 46 individuals who were also believed to be runners, carrying out ATM transfers.

Additionally, 41 individuals were also suspected to have provided their ATM cards, personal identification numbers and internet banking tokens to unlicensed moneylenders, even opening bank accounts on unlicensed moneylenders' behalf.

The remaining three, comprising a woman and two men aged between 26 and 48, are being investigated for their suspected involvement in cross-border unlicensed moneylending activities.

"(We) acted on information received from the Royal Malaysia Police (RMP)," said the police.

"They are believed to have provided their bank accounts and mobile numbers to unlicensed moneylenders and are linked to unlicensed moneylending reports in both Malaysia and Singapore."

Any individual whose phone line, bank account, ATM card or internet banking token is used to facilitate unlicensed moneylending is presumed to have assisted in carrying out the unlicensed moneylending, the police warned.

If found guilty, first-time offenders may be jailed for up to four years, fined between $30,000 and $300,000 and caned up to six times.

They may also be barred from using ATM and internet banking facilities for a year.

For acting on behalf of an unlicensed moneylender to commit or attempt harassment they can be jailed for up to five years, fined between $5,000 and $50,000, and caned between three and six times.

Foreigners who borrow or aid in unlicensed moneylending will also have their student or work passes cancelled and face deportation.

The police reiterated that unlicensed moneylenders will not hesitate to carry out persistent and dangerous harassment acts on the borrowers and their families, including setting fires and splashing paint at residences.

"Unlicensed moneylending syndicates depend on networks of runners, bank account holders and others who facilitate the misuse of local SIM cards," senior assistant commissioner of police Julius Lim said.

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khooyihang@asiaone.com