The Cyberabad police on Friday arrested three persons for harassment of an instant loan app defaulter, leading to his death by suicide. The victim of harassment, 36-year-old Chandra Mohan had taken Rs 80,000 from 11 instant loan apps but found himself shelling out over Rs 2 lakh as interest and penalties. The three persons arrested helped operate four of those apps.
The three arrested have been identified as Hemanth Kumar, director of Flash Card Private Limited; V Manjunath, HR manager of Juss IT Technologies in Bengaluru; and Abdul Lauk, manager of TGHY Trust Rock Private Limited in Bengaluru.
The three companies were found operating the instant loan apps under the names: Rupee Plus, Kush Cash, Money More and Cash Map. The companies are linked to Chinese and Bhutanese nationals, say Cyberabad police.
These companies were charging interest rates up to 35% of the borrowed money and levied huge penalties on defaulters. Police said they will request Google to take down these loan apps from Google Play Store. informed P V Padmaja, DCP Balanagar. The police also confiscated laptops and mobile phones from the accused. Police found that these firms operated several bank accounts for loan disbursement and repayment.
Cyberabad police made the arrests based on a complaint for abetment to suicide filed with the Petbasheerbagh police station on January 2. Chandra Mohan, a warehouse employee, had availed loans to the tune of Rs 80,000. Despite repaying nearly Rs 2 lakh as interest and other fees, he was harassed by these firms for more money. Mohan had taken loans from Pan Ban, Cash Map, Red Corp, Rupee Plus, Kush Cash, Fix Cash, Rupee Instant, Money More, Home Credit, Cash Go, and Cash Seed.
Police have booked the three persons under Sections 306 (abetment to commit suicide), 420 (cheating), 384 (extortion) of the Indian Penal Code (IPC) and Information Technology Act.