Police smash illegal moneylending syndicate in island-wide
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Police say they have smashed an illegal moneylending syndicate after an island-wide raid on Tuesday.
They arrested 12 Singaporean men, between the ages of 26 and 43 years, and seized over $10,000 in cash, together with other items like personal computers, handphones, pagers and bank records.
Members of this syndicate are believed to be responsible for more than 40 cases of harassment against the debtors over the past 12 months.
The seven-and-a-half hour operation covered 14 locations including HDB flats in Geylang, Eunos Avenue, Bedok, Sengkang and Ang Mo Kio.
Preliminary investigations reveal the syndicate operated from 3pm to 10pm daily and relied heavily on computers to main their clients' records and the loans issued.
They would resort to harassing debtors who failed to pay by posting debtors' notices and splashing paint or coffee at their doors.
The syndicate is believed to have at least 800 debtors, with loans ranging between $300 and $2000.
The syndicate had an estimated $300,000 worth of live loans and a total taking per month estimated at about $50,000.
It is estimated that more than $300,000 worth of loans were given out monthly by the syndicate, generating profits of $50,000 a month.
Some of the suspects will be charged in court Thursday with operating a business as an unlicensed moneylender .
First-time offenders found guilty could be fined between $10,000 and $100,000.
Repeat offenders could be fined between $20,000 and $200,000, or jailed up to a year, or both fined and jailed. - CNA -
Thought Singapore quite free from such illegal stuff
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there will always be somebody trying to jack the system if there is enuf profit in it to be made. And there will always be somebody who needs a loan.
I heard an investment of 20k for a smalltime operation can 'recover' after a 4-5 months.
highly lucrative high overturn business. dats why also many credit card business in singapore.
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The worst was 2 years back, many chinese workers kena cheatedOriginally posted by KumSioJui:there will always be somebody trying to jack the system if there is enuf profit in it to be made. And there will always be somebody who needs a loan.
I heard an investment of 20k for a smalltime operation can 'recover' after a 4-5 months.
highly lucrative high overturn business. dats why also many credit card business in singapore. -
But then again $50,000 a month still small beer when compared to the infamous Ah Long San.
I read that during the height of his empire, Ah Long San had few coffee shops, KTV pubs etc etc etc ....
His monthly revenue from all these legal businesses alone was already making him $300k profits per month.
But his illegal operations was where he really made big bucks, loan sharking earned him several million every month.
I think he is the richest crook they ever caught in singapore. -
Originally posted by KumSioJui:there will always be somebody trying to jack the system if there is enuf profit in it to be made. And there will always be somebody who needs a loan.
I heard an investment of 20k for a smalltime operation can 'recover' after a 4-5 months.
highly lucrative high overturn business. dats why also many credit card business in singapore. 
credit card is not money lending. -
no it is not, but if you roll over yur credit you owe them money at 24% and that is definately more than what Ah Long San charges.Originally posted by Parka: credit card is not money lending.
Oh yes btw, I have never tried it but I think you are allowed to take out a loan equivalent to yur 1 month salary using yur credit card. -
Originally posted by KumSioJui:no it is not, but if you roll over yur credit you owe them money at 24% and that is definately more than what Ah Long San charges. Eh...
The primary difference is you wouldn't have the extra cash in the first place.
In this case, credit card is worst because, THE HECK, one is using one's own money and paying the accursed interest rates! -
You thought, you think, you never confirm.Originally posted by sbst275:Thought Singapore quite free from such illegal stuff
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actually it's the same in both cases you didn't have money in the first place too right?Originally posted by Parka: Eh...
The primary difference is you wouldn't have the extra cash in the first place.
In this case, credit card is worst because, THE HECK, one is using one's own money and paying the accursed interest rates!
In the first case you are given a loan in hard cash, in the second credit.
and after yur hooked you are using ones own money to work off the high interest.
The only difference is the method used in the loan recovery, the first case they break yur legs. The second they sue you and take your home.