Bhubaneswar: Following request of Bhubaneswar Economic Offences Wing (EOW), the Bureau of Immigration (BOI) issued a Look Out Circular (LOC) against three Chinese fraudsters in a fake loan app case.
The LOC has been issued against Chinese nationals — Shen Zhenhua alias Tony of Jiangsu, Quan Hongwei alias Paul of Jiangsu, and Yang Haiying alias Doris of Sichuan — for defrauding lakhs of people through an illegal digital loan app namely ‘Kredit Gold Loan App’.
“They are the mastermind and main accused in an EOW case under sections 294/384/420/467/468/471/120-B IPC, r/w Sec.66 (D) IT Act, 2000 (2nd Illegal Loan APP),” the EOW said in a release today.
More than 1 lakh people have been victims of the fake digital loan app across the country including many from Odisha. Evidences suggest that the accused persons are running similar scam in other countries like Indonesia, Sri Lanka, Pakistan, Nepal and Bangladesh.
During investigation, the EOW found that the accused Chinese nationals have also links in the US and Hong Kong.
“They are in the process of expanding their financial criminal network in African and Middle East countries. They operate in India in connivance with many shell companies mainly named ‘M/s Goodstart Business Pvt Ltd, M/s Rightstart Business Pvt Ltd’ etc,” the release stated.
According to reports, the Chinese fraudsters dupe people through these fake companies where the Indians are appointed as the directors. Even some unscruplous officials of mobile phone companies, Chartered Accountants, Company Secretaries, Fintech companies, recovery agents and call centres are also involved in the fake companies.
Evidences suggest that these accused persons along with some other Chinese groups are running hundreds of illegal digital loan apps and exorting/abusing lakhs of innocent loanees especially from low middle class people, the release stated.
Earlier in this case, the EOW had arrested an accused identified as Nitin Mallik, Director of Good Start Business Services Pvt. Ltd, on July 13 from Hari Nagar area in New Delhi. He is the close associate and henchman of Chinese fraudsters. He was produced before the Court of Chief Metropolitan Magistrate, Tis Hazari Court, New Delhi, and was brought to Bhubaneswar on transit remand for deposing him before the SDJM Court here. The court allowed the EOW to take the accused on 4-day remand.
EOW will move INTERPOL through proper channel for extradition of these criminals to India and also to alert law enforcement agencies of other concerned countries. EOW has already written twice to Google to take down the illegal Loan APPs from its play store. The agency has also requested RBI to impress upon Google for early taking down of the illegal Loan APPs. It urged the Registrar of Companies to enquire and take necessary action against suspected shell companies. The agency is also in touch with other law enforcement agencies for necessary action against these scamsters.