Hyderabad: In a bud to clampdown on instant loan app networks that have turned into a death trap for borrowers, the Hyderabad police is making a move to get in touch with the Nepal police to ‘crush’ the network of such illegal business.
The Hyderabad police, which is probing loan app cases, got wind of call centers operating in Nepal. Cops have also managed to track the management arranging shelter for executives involved in the crime. The executives working at the call centers go to extent of social shaming to recover loans from borrowers.
The Nepal police also launched a crackdown on illegal loan app call centers targeting Nepal, Bangladesh, and Indian citizens. Arrests were made in the case and laptops and computers were seized in big raids at different places in Kathamandu and adjoining districts.
A senior police official of Hyderabad police, who did not want to be quoted, said through the proper channel they will reach their Nepal counterpart and seek help to end such illegal businesses.
Sources from the Hyderabad police said that almost ninety percent of the instant loan app business is conducted from Nepal and Thailand. Full-fledged call centers were established in Nepal with local support, it was found after the Hyderabad police in India started a crackdown.
The management were hiring Nepal nationals, Chinese nationals, and a few Indians for making calls and luring customers. Later, another set of people would make calls to loan defaulters and engage in abusing or social shaming to recover loans.
Instant loan app firms create apps and send links through SMS or WhatsApp randomly to people. After people download the app, they are directed to download the app, and money is credited into the account after a small documentation process.
The interest is high and when the borrower fails to repay the loan, its executives begin abusing and social shaming. Several persons died by suicide due to such harassment. The Telangana State police have, so far, registered around 100 cases against such loan app companies.
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