Loan app fraud: Andheri duo with China links held

Delhi-based fashion designer and his associate routed money extorted from loan app victims to masterminds in China, say GRP

Andheri GRP officers on Friday said they have arrested a Delhi-based fashion designer and his associate who worked for the loan app fraud’s masterminds in China as well as the gang operating the unauthorised applications. The duo transferred the money, which the recovery agents extorted from the innocent borrowers, to the masterminds in China, they added. mid-day, through a series of stories, has been instrumental in bringing forth the massive scam spread all over the country. 

The loan app scammers tempt gullible people to get instant loans, with just one click on their mobile phone, without any verification. They promise low interest rates and certain time for repayment, but as soon as the money is credited into borrowers' bank account, their recovery agents start hounding innocent people. The victims, who are threatened and blackmailed with morphed obscene photos, are forced to pay much more than they had borrowed.

Also read: Mumbai: Month on, five loan app agents granted bail

Police said the fashion designer worked in China before the pandemic forced him to move back to India. Representation pic

mid-day had earlier reported, citing Economic Offences Wing, that the extorted money makes its way to China. Mohammad Sartaj Aalam Yasin, 45, the fashion designer and his associate Shoeb Iqbal Aalam, 25, who have been arrested from Delhi by the Andheri Government Railway Police (GRP), had been sending the earnings to their masterminds in the neighbouring nation.

The GRP officers, who brought the duo to Mumbai on Thursday, said they used the Telegram messaging app to contact their counterparts in China and Nepal. The chats are now part of the evidence, along with documents, bank seals, laptops and routers seized during a raid at their Delhi homes.
A court in Mumbai has remanded the duo in police custody.

They have been arrested after police started probing a complaint of a Kalyan resident, who received threatening calls and messages when she couldn't repay the loan. She approached the Andheri GRP police when the recovery agents started sending threat messages to her contacts.

Under the guidance of Deputy Commissioner of Police Dr Sandeep Bhajibhakre, a team was formed, which comprised Assistant Inspector Sachin Gavte, Sub Inspector Sachin Kamble and others. They started the probe and got the names of Sartaj and Shoeb.

A police source said, "Sartaj is the prime accused in the case involving the transfer of money. The duo had opened several bank accounts under fake names, and used them to route money to China. Police have sealed all the accounts. Sartaj has visited China multiple times, and can also speak a Chinese language. He had also met the main gang operating the loan apps in India. Sartaj also operated many bank accounts using the OTP of the victims to withdraw money. He received a commission of Rs 3,000 per day to cheat people."

Police are now investigating to check if they were involved in any other loan app scam cases registered across the city. In a few cases, registered by Mira Road and Mumbai police, the borrowers killed themselves after being constantly harassed by the loan recovery agents.

Police said Sartaj lived in China before the COVID-19 lockdown, and around 1 lakh employees worked under him. He transported clothes from China to India. His business took a hit during the lockdown, and he shifted to Mohan Baug in Delhi. As he did not have any means of earning, he started looting people of their hard-earned money in 2020, said police.

Rs3k
Per day commission one accused got

2020
Year since main accused has been running the scam

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