Moneylending fraud: SOT and LB Nagar police arrest four more in Hyderabad

Malkajgiri police arrested four more people, all women, on Thursday in a network of illegal moneylending and loan fraud, taking the total arrested to seven. The gang allegedly lured distressed borrowers with large loans, deducted heavy advance interest, and kept signed blank cheques and promissory notes to extort more money, even seizing a woman doctor’s two cars.

Hyderabad: The Malkajgiri Police Special Operations Team (SOT), LB Nagar Zone, along with LB Nagar police, arrested four more individuals on Thursday in connection with an organised illegal moneylending and loan fraud network operating in the city.

According to Malkajgiri Police Commissioner B. Sumathi, the gang targeted financially distressed persons, senior citizens, employees and businesspersons by promising substantial loans through intermediaries. After gaining their confidence, the suspects allegedly deducted exorbitant amounts as advance interest and disbursed only a portion of the promised loan. They also collected additional money on the pretext of arranging bigger loans.

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“The gang obtained promissory notes and signed blank cheques for amounts much higher than the actual loans advanced. Even after borrowers repaid the money, the accused retained the documents and continued demanding additional amounts. Victims who questioned the transactions or sought the return of their documents were allegedly threatened with criminal cases and physical harm,” said B Sumathi.

In one instance, an elderly woman doctor seeking financial assistance to purchase an AI-based cancer detection machine was allegedly cheated.

“The gang collected money and forcibly took possession of her Skoda car and Toyota Innova Hycross. A private teacher, a driver, his friend and a retired Veterinary Department employee were among others allegedly exploited,” Sumathi said.

The four persons arrested on Thursday were identified as Kumbam Nagamma (48), Kandela Gangamma (45), Kandela Mangamma alias Rani (36) and Adulla Anusha (32). Three others had been arrested on October 26.

The police seized the two cars, nine mobile phones, three additional smartphones, 25 promissory notes, 22 blank cheques, two sale deeds, two pattadar passbooks and cash. Seven victims have been identified so far, while another 20 potential victims are being examined.

Four cases have been registered at LB Nagar, Neredmet and Keesara police stations. Four more people are absconding. Police are continuing the investigation and warned illegal financiers against exploiting borrowers through exorbitant interest, fraudulent documentation and coercive recovery.