In a major action against illegal financial activities, the Malugram Police Outpost arrested an unlicensed private moneylender, identified as Suman Nath, late Wednesday night. The arrest followed a complaint filed by a victimized family alleging exorbitant interest rates, sustained extortion, and criminal intimidation.
Suman Nath was apprehended for operating an illegal money lending business without a valid license and engaging in coercive practices. He was produced before the court by the police on Thursday.
Exploitation and Extortion Uncovered
According to the victim’s complaint, the financial crisis faced by the family in 2019 was exploited by Suman Nath. He provided them with a loan of ₹1 lakh at a staggering 5 percent monthly interest rate.
As part of the loan agreement, the accused allegedly coerced the victim into handing over their ATM card, PIN number, signed blank cheques, and blank papers.
Despite the family paying back nearly ₹5 lakh over the last five years—significantly more than the principal amount—the accused continued to illegally demand more money, backing his demands with constant threats and intimidation.
Misuse of Financial Instruments
The complaint further details a grave misuse of the seized instruments. The accused reportedly misused the blank cheques to file a false cheque bounce case against the victims. Under the threat of this legal action, he managed to extort an additional ₹1.80 lakh from the distressed family.
Following the formal complaint, Malugram Police have confiscated Suman Nath’s mobile phone and laptop, which have been sent for forensic examination as part of the ongoing investigation.
