India woman commits suicide after loan application scam
Hyderabad: New details of the instant loan application scam have emerged, including the suicide of a woman, agricultural extension worker Kirni Mounika, who was caught in the racketeering.
Mounika, 25, consumed poison in her hometown of Siddipet on December 14 and died two days later as she was constantly harassed and defamed by instant loan application officers. She had taken out loans from various such apps and was unable to repay them on time resulting in high interest rates.
His father Bhopani revealed that it all started with a small loan of Rs 5,000 from one of these companies, which led to the accumulation of loans of Rs 260,000 from various others. “It was a trap,” he said, adding that when his daughter failed to get a small loan, another similar app approached her to offer her a loan to pay off the first one. “That way she borrowed small loans from 55 applications,” he said, adding that the usurious charges had caused total debt to skyrocket.
But how could a government employee fall into such a trap? The question had left even his own family perplexed. “While she was on her deathbed, she struggled to tell me something that I couldn’t understand then,” her father said. But after going through her diary a few days after her death, he found the reason she had taken out the loans. “She took out small loans to help poor farmers in dire straits leading to default,” he said.
One day before Mounika took the extreme step under the pressure of loan sharks, her father had learned of her ordeal and was making frantic efforts to help her. “I immediately contacted her and asked her to repay the loans immediately. I had made arrangements and the loans had to be repaid the next day ”,
Rushed to hospital
But Mounika has decided to end her life. On the fateful day, she attended a farmers meeting, then went to the family home in Siddipet and consumed poison. She was rushed to hospital, but after two days of struggle, doctors were unable to save her life.
After her death, other workers from the Telangana Agricultural Department raised funds and tried to help her family. But her father refused and asked them to use the money to help needy farmers.
Details of the instant loan applications leading a woman to suicide came at a time when the police investigation led to the arrest of the main Chinese mastermind behind the scam, Zhu Wei aka Lambo, at Delhi airport as ‘he was trying to flee to Frankfurt.
Police investigations revealed that he, along with another Chinese woman, Yuan Yuvan aka Jennifer, had set up several shell companies and was running the massive operations using dozens of apps and two large call centers. The money earned from the questionable transactions was then sent out of the country using the coin routes. Authorities estimate that around $ 3 billion has been processed through these instant loan apps and scam over the past few months.