Police have dismantled a sophisticated illegal lending operation that preyed on foreign domestic workers, arresting 46 people in a two-day crackdown dubbed Operation “Dark Current,” authorities announced Tuesday.
The suspects, including nine local men, one local woman, eight foreign men and 28 foreign women, range in age from 20 to 76. Police identified several as ringleaders of the syndicate, which operated behind the facade of telephone shop chains and a licensed money lending company.
Investigators seized over HKD249,000.00 (US$32,000) in cash, loan documents, confiscated passports, and froze approximately HKD498,000.00 (US$64,000) in suspected criminal proceeds from multiple accounts.
The operation allegedly targeted foreign domestic helpers with predatory loans carrying annual interest rates up to 400%. Victims were forced to purchase marked-up products and pay excessive fees that stripped away most of their borrowed principal, according to police.
One of the arrested phone retailers allegedly lent HK$3,500 to a domestic worker on paper but provided only HK$1,000 in cash after forcing the debtor to buy a cell phone for HK$1,300 and pay additional fees.
“When helpers failed to make payments, the syndicate would harass both workers and their employers with threatening messages and intimidating phone calls,” said Chief Inspector Ho Yan-kit of the Hong Kong Island regional crime unit told reporters on Tuesday.
In a parallel investigation, authorities shut down four illegal lending websites operated by a separate syndicate. These online operations charged interest rates as high as 400% — more than 6 times the legal limit of 48% under Hong Kong law.
“Charging interest rates above 48% is a serious crime that carries penalties of up to HK$5 million and 10 years imprisonment,” said Chief Inspector Ho Yan-kit. “We also warn the public against allowing their bank accounts to be used for these illegal operations.”
The crackdown represents one of Hong Kong’s largest anti-usury operations targeting crimes against migrant workers. Authorities say investigations are ongoing and more arrests are possible.
Under Hong Kong’s anti-money laundering laws, convicted offenders face maximum penalties of HK$5 million in fines and 14 years behind bars.
