ALOR STAR: Two women and teenagers were among 16 individuals arrested for allegedly being members of a money-lending (Ah Long) syndicate in Sungai Petani yesterday.
Head of the Kedah Commercial Crime Investigation Department (CCID), Supt Annuar Amri Abd Muluf, said police raided eight houses in an operation which was conducted at 8.30am.
“During the operation, police arrested 14 males and two women aged between 15 and 49 and seized eight vehicles and items used in the illegal money-lending scheme.
“Also seized were RM9,733 and SG$3,000 (RM9,079), 29 ATM cards, 16 cheques, 17 notebooks with details of the borrowers, six plastic containers of red paint and three samurai swords,“ he said in a statement today.
Annuar Amri said investigations showed that the syndicate had been operating in Kedah, Perak, Penang and Perlis over the last two years, targeting government and private sector employees, small traders, retailers and factory workers.
He said the syndicate advertised its services on social media sites such as Facebook and the WeChat application as well as through banners and brochures.
It also imposed conditions that must be met before the loan was given, charging a 10% to 15% interest depending on the borrowings, he said.
“Usually a loan transaction was between RM1,000 and RM50,000 but should the borrower fail to settle the payment within the stipulated period, the syndicate would resort to issuing threatening notes, using abusive words and splashing paint,“ he said.
He added that all the suspects, who had no criminal records, have been remanded for four days from today under Section 5 (2), Section 29 (A) (1) and Section 29B of the Unlicensed Moneylenders Act 1951.
Section 5 (2) states that those convicted can be fined up to RM250,000 and not more than RM1 million or a jail term of up to five years or both.
Section 29 A (1) provides for a fine of up to RM20,000 or imprisonment for two years or both, while Section 29B provides for a maximum fine of RM250,000 or a jail sentence of not more than three years or both. — Bernama
