Subcontractor tricked into signing over home for personal loan

JOHOR BARU: When a subcontractor approached a loan shark for a loan of RM40,000, little did he know that he would end up signing over his home worth RM300,000.
Wong Liew who was in need of money to settle an urgent debt, came across a roadside poster by a loan shark advertising a low interest rate loan in October last year.
He contacted the number provided, and the loan shark brought him to a lawyer's office on Oct 23 where he was asked to sign an agreement where his home was used as collateral for the RM40,000 loan.
Wong said the money was given to him the next day, and he was told that if he settled the loan amount within a year, he would still own his home.
He said he made monthly payments of RM1,200 for the first three months, until he received a letter from the Inland Revenue Board (IRB) in March, stating that he no longer had to pay tax for the property, as the home no longer belonged to him.
A shocked Wong who realised that he had been conned, approached Johor MCA Public Service and Complaints Bureau chief Kua Song Tuck for help.
He also lodged a police report at the Johor Baru Sentral police station on Jun 24.
To make matters worse, he received a lawyer's letter two weeks ago sent on behalf of the new owner, requesting that he move out within 14 days.
" I want to speak up so others will be more aware when faced with a similar situation in future," he said during a press conference at the South Johor Chinese Press Club here yesterday.
Kua said some loan sharks are using this tactic to con borrowers.
"This modus operandi has put many people in a predicament," he said.