A director of a financial services company, connected to a money-lending app, has been arrested in Bengaluru in an investigation into instant app-based lenders allegedly harassing borrowers, the bank said on Wednesday. Hyderabad police.
Following on from arrests made in such cases, cybercrime police on Tuesday arrested the 24-year-old accused, who
is one of the directors of a financial services company, according to a press release from the city police.
After further investigation, the police identified the accounts associated with all fraudulent money lending companies and
has frozen around Rs 400 crore, according to the statement.
Telangana Police, who had launched a crackdown on instant money lending app companies, said the lending companies, through instant lending apps, offer loans to people and take huge amounts of money. interest and processing fees, among others.
They then systematically resort to abusing, harassing and threatening defaulters through call centers operating
from across the country.
Six cases of suicides, due to the harassment of these companies, have been reported in Telangana since December 2020.
State police have recorded more than 50 cases and arrested more than 30 people, including four Chinese nationals, as far as the Law Enforcement Directorate is also investigating the FIRs.