Enforcement Department Starts Focusing On Fake Online Loan Apps

The Directorate of Enforcement has focused on the business of online loan apps. The case is being investigated on suspicion of money laundering and hawala.

The Directorate of Enforcement (ED) has focused on the issue of online loan apps that are harassing people and inciting them to commit suicide. The accused foreigners have looted a large amount of money through loan apps. Apart from this, it is suspected that thousands of crores of rupees were sent abroad through hawala and money laundering. In this context, the ED is collecting details of cases registered against loan applications under the Hyderabad, Cyberabad and Rachakonda Police Commissionerates.

The entire investigation is being conducted on the basis of a report from three police commissioners. Officials say some Chinese nationals have deliberately raised money through loan apps and moved it abroad. The ED has already identified that a few thousand crore rupees of funds have been diverted to countries like China as well as Singapore, Malaysia, Thailand, Bangkok and Indonesia. The main masterminds behind this scam have already been arrested by the Telangana cyber-crime police while others have fled.

According to the investigation so far, the police have concluded that the person behind the loan app scam is not a Chinese national. Officials have found that loan apps are being operated in India with increased connectivity from countries like Indonesia, Thailand and Singapore. However, the ED focused on the allegations of money laundering and hawala in this case.