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Police Organized Crime and Triad Bureau, together with Crime Units of Hong Kong Island, Kowloon West, Kowloon East, New Territories South and New Territories North, yesterday (November 13) mounted an operation codenamed 䩕Keyscroller蒅 to combat illicit activities related to money lending.
During the operation, police officers raided six intermediaries and arrested twelve men and one woman aged between 21 and 50. Among them, four arrested men were believed to have triad background. Police also seized seven computers, related documents, over 200 easy stands and advertisement banners.
Investigation revealed that the victims were lured to get loans from unlicensed money-lenders and intermediaries by the leaflets distributed or easy stands displaying on street. Some intermediaries conspired with the money-lenders to charge an unreasonable amount of administration fees or warranty which in fact equalled to an interest higher than the rate stipulated under the law, and therefore victims received a loan far less than expected.
The arrestees were arrested for carrying on business as a money-lender without a licence, demanding or receiving any remuneration or reward whatsoever from a borrower or intending borrower and publishing any advertisement which contravenes the related ordinance respectively. They will be allowed to release on police bail later.
The Money Lenders Ordinance (Cap. 163) stipulates that any person who lends money at an effective rate of interest should not exceed 60% per annum. The Ordinance also regulates the business of money-lenders and advertisements related to money lending. Any person contravening the Ordinance will be liable to a maximum fine of $100,000 and two years﷿ imprisonment, while the licences of those licensed money lenders may also be suspended.
Police remind the members of public not to trust money-lending advertisements easily. If they need to borrow money, they should seek assistance from banks or legal financial companies. All the financial companies have a money-lender licence number, which will be clearly shown on the related documents or advertising materials for reference.
Police Report No. 277
Issued by PPRB
Ends/Wednesday, November 14, 2012
Issued at HKT 19:03
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