Nearly 900 suspected loan sharks arrested so far this year

KUALA LUMPUR: Nearly 900 suspected loan sharks were arrested over a eight month period this year, said Datuk Seri Dr Shamsul Anuar Nasarah.

"A total of 898 individuals were arrested by the police between January and August this year, which resulted in 196 prosecutions," the Deputy Home Minister said.

Shamsul said this when replying to a question raised by Datuk Che Mohamad Zulkifly Jusoh (PN-Besut) in the Dewan Rakyat on Wednesday (Oct 11).

He said that the police had recorded 1,000 loan shark cases in 2021, which resulted in 1,067 arrests.

"A total of 1,009 cases were recorded last year which resulted in 1,262 arrests," he added.

Shamsul acknowledged that tackling the problem of illegal moneylenders is a daunting task as loans are easily provided by them to borrowers compared to banks and licensed lenders.

He also said that the loan sharks are now resorting to social media to offer their services, unlike previous methods of advertising through posters.

As such, he said the police's commercial crime division has set up a cyber crime unit to deal with such criminal activities.

He also said that action against loan sharks is ongoing by the police through Ops Vulture.

Che Mohamad wanted to know what was being done to tackle the loan shark problem as there is a growing number of incidents where violence (during loan recovery) was directed at "non-borrowers".

Che Mohamad said that rising cost of living has driven some in the community to seek loans from illegal money lenders.

He claimed that loan sharks had provided loans with interest totalling RM10bil to 32,880 individuals between September 2022 and May this year.

To a question by Datuk Mohd Isam Mohd Isa (BN-Tampin), Shamsul said police will act swiftly on reports made against loan sharks, and advise victims accordingly.

Mohd Isam asked if the police would offer protection to loan shark victims, including setting up a special unit to act as mediators between borrowers and loan sharks.