JOHOR BARU: Police have dismantled a loan shark syndicate following the arrest of four suspects, including a woman, involved in criminal intimidation by splashing paint on victims' homes.
Johor Police chief Comm Datuk M. Kumar stated that the suspects, aged between 17 and 46, were arrested in a series of raids conducted in Johor Baru and Selangor.
The operation was led by the D7 division of the Johor Police Criminal Investigation Department in collaboration with the D7 unit of the Johor Baru South District Police.
"The suspects were paid RM450 by the syndicate for each paint-splashing act aimed at intimidating victims who had defaulted on loan repayments.
"The raids resulted in the seizure of various items, including mobile phones, paint-filled containers, threatening notes, and writing materials," he said on Wednesday (Jan 15).
Comm Kumar added that the syndicate operated by advertising unlicensed loan offers on social media platforms such as Facebook and TikTok.
"They would deposit funds into borrowers' accounts upon receiving account details, work permits, and home addresses, even before loan agreements were finalised.
"Borrowers were then coerced into repaying the loans with exorbitant interest rates ranging from 20% to 50% of the borrowed amount.
"Victims who refused or failed to pay were targeted with threats, including splashing paint on their homes," he explained.
He shared that the syndicate primarily targeted Malaysians working in Singapore, using Singapore-registered bank accounts for all transactions.
The arrest of the suspects has solved eleven cases across Johor, including one case in Johor Baru, four in Johor Baru North, two in Iskandar Puteri, one in Kulai, two in Batu Pahat, and one in Pontian. Initial urine tests revealed that two suspects tested positive for methamphetamine.
Eleven investigation papers have been submitted to the Johor State Legal Advisor’s Office. Charges will be brought against three suspects, consisting of two men and one woman, under several Penal Code provisions.
"These include Section 427 for committing mischief, Section 506 for criminal intimidation, and Section 507 for criminal intimidation through anonymous communication.
"The suspects are scheduled to be charged in the Johor Baru Magistrate’s Court on Jan 15. One suspect will be released on a bond under Section 118 of the Criminal Procedure Code to serve as a prosecution witness," he added.
Comm Kumar said that the Johor police remain committed to eradicating unlicensed money-lending syndicates to ensure the safety and security of the state.
He advised the public to avoid engaging with online loan advertisements to prevent falling victim to scams and urged anyone with information on illegal loan activities or other crimes to contact the Johor Police Hotline at 019-279 2095 or the Operations Room at 07-221 2999.
