MELAKA: Scams preying on desperate people, especially the jobless, by getting them to apply for non-existent loans are on the rise, says Melaka police.
State Commercial Crime Chief Acting Supt E. Sundra Rajan said fraud cases relating to loan applications had increased since the movement control order (MCO) was implemented in March.
"Desperate people who want financial assistance end up losing more money when they apply for such loans.
"Syndicates operating such scams would claim that they have the approvals from relevant authorities to provide the loans," he said in an interview on Monday (Nov 9).
Supt Sundra Rajan said those who applied for the loans were asked to pay processing fees.
"Once the fees are paid, the fraudsters would demand for more payment by claiming that the applicants' names have been blacklisted by financial institutions, and it needs to have clearance first," he said.
Supt Sundra Rajan said cybercrime such as cheating involving the online purchases of gadgets had also seen an upward trend during the MCO.
He said some RM24.3mil in losses were recorded from 896 cases for various offences under commercial crime in nine months since January this year.
This was an increase of 223 cases from last year when there were 673 cases with losses amounting to RM19.2mil in the same period.
Fraud involving online purchases totalled 158 cases for the first nine months of the year with RM10.8mil in losses, added Supt Sundra Rajan.