Cyberabad police arrests three for illegal loan app frauds

According to Balanagar DCP PV Padmaja, the three were operating different online mobile app companies that offered small instant loans and collected repayments by harassing and blackmailing customers.

Hyderabad: Three persons, all top personnel of firms that operated illegal instant online loan apps, were arrested on Friday by the Cyberabad police in connection with the alleged suicide of Chandra Mohan, a supermarket employee who was reportedly harassed by executives of instant loan apps.

The arrested persons were identified as Hemanth Kumar, director of Flash Cash Pvt Ltd, Haryana and a resident of Bihar, V.Manjunath, HR manager at Juss IT Technologies Pvt Ltd, Bengaluru and Abdul Lauk, manager of TGHY TrustRock Pvt Ltd, Bengaluru.

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According to Balanagar DCP PV Padmaja, the three were operating different online mobile app companies that offered small instant loans and collected repayments by harassing and blackmailing customers. These loan apps were made available on Google Play Store.

“These three companies were operating about five instant loan apps and gave small loans to Chandra Mohan. Hemanth had developed his company’s own app with the help of one Michael of China and was running his office in Gurgaon, where a database of customers was maintained,” Padmaja said, adding that Manjunath and Abdul Lauk also adopted the same modus operandi for their firms.

The apps operated by these three companies included Rupee Plus, Credit Finch, Paisa Pinch, Ok Rupee, Krazy Cat, Fly Cash and Money More.

The police have cautioned the public against downloading instant loan apps and against sharing personal and bank account credentials. They also said people should go through the terms and conditions and verify licenses of companies offering instant loans, whether they had permission from the RBI and the district collector.

 

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