Factory Worker Arrested for Loan Sharking at 280% Interest

Picture courtesy of Khaosod.

Police have arrested a 45-year-old factory worker in Samut Sakhon for operating an illegal money-lending scheme targeting his colleagues, charging an extortionate annual interest rate of 280% and confiscating borrowers’ ATM cards and PINs as collateral.

The suspect, identified only as Mr. Chet, was taken into custody at a rented room in Khok Kham Subdistrict, Mueang District. The operation was led by Pol. Lt. Gen. Thaspoom Charuprach, commander of the Economic Crime Suppression Division (ECSD), with Pol. Col. Mekpisarn Sripirom and Pol. Lt. Sathitphakorn Taengrot leading the arrest.

Authorities confiscated key evidence, including one mobile phone, one tablet, a notebook used for debt records, and 26 ATM cards belonging to borrowers.

According to investigators, Mr. Chet had been employed at a local factory but had secretly operated an illegal loan business for the past three to four years, primarily lending to fellow factory workers. He charged interest rates vastly exceeding the legal limit, reportedly up to 280% per year.

To secure the loans, borrowers were required to hand over their salary ATM cards and provide their PINs. In the event of missed payments, Mr. Chet would either withdraw funds directly from the victims’ accounts or resort to public shaming by posting defamatory messages about the defaulters on social media.

Following an investigation that confirmed unlawful activity, police obtained a search warrant and raided Mr. Chet’s residence, where they found conclusive evidence leading to his arrest.

During questioning, the suspect admitted to running the loan scheme independently and confirmed he primarily targeted co-workers from the same factory.

Mr. Chet has been charged with operating an unlicensed money-lending business, charging illegal interest rates, and employing intimidation tactics in debt collection. He has been handed over to the ECSD’s Investigation Subdivision 5 for legal proceedings.

  Adapted by Asean Now from Khaosod 2025-05-01.