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Police Organized Crime and Triad Bureau, together with Crime Headquarters of Hong Kong Island, Kowloon West, Kowloon East, New Territories South and New Territories North, mounted an operation codenamed "Keyscroller" on December 30 to combat illicit activities related to money lending.
During the operation, police officers raided one money lending company and twelve intermediaries and arrested twenty-four men and ten women aged between 18 and 64. Among them, two arrested men were believed to have triad background. Police also seized seventeen computers, related documents, over 50 easy stands and some advertising banners.
Investigation revealed that the victims came into contact with unlicensed money-lenders and intermediaries through information on 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, and therefore victims received a loan far less than expected.
The arrestees were arrested for lending money at an effective interest rate exceeding 60 per cent per annum, 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.
The Money Lenders Ordinance (Cap. 163) stipulates that any person who lends money at an effective rate of interest should not exceed 60 per cent 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 $5,000,000 and ten years' imprisonment, while the licences of those licensed money lenders may also be suspended.
Police remind members of the 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 legal 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. 344
Ends/Tuesday, December 31, 2013
Issued at HKT 18:22
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