74-Year-Old American Expat Faces Deportation Over Loan Sharking: Phuket

[Riely]

If it was against the law then so be it, let him suffer the concequences under the law. However all these calls of paracite this and evil that are just un-called for. No body forced the Pino's to borrow from him. The rates wern't hidden. They chose to enter into the agreement of their own free will and accord and this law is backwards. They say on one hand 15% ann max, yet there are no loan facilities availble to Pinos, or most expats for that matter at that rate.

So what are pepole supposed to do? I feel sorry for the guy.

[Newguy70]

Sorry, no sympathy from me for this scumbag.

But I'll be kind and say it this way...assuming the charges are valid.... then I have no sympathy for this (alledged) scumbag.

However, please do NOT deport him to the U.S.A.

Instead deport him (or send him) to the Phillipines.

But first confiscate his U.S. passport and any money he has, so he arrives in Manilla with no money, no passport, and charges against him of loansharking money from Fillapino citizens.

In that case, he is going to be happy to be in a Fillapino jail...and still alive.

You are obviously clueless to how the U.S was built . I.e american railroads, u.s land ownership and distribution. etc. . . , try to be a little more aware of your history prior to judging an individuals very small mistake. (scumbag) seems a bit harsh, when I think of a scumbag, a pedophile, murderer or that sort of fella come to mind. Lending out a few bills is mmmm petty IMHO.

[visions]

BIB = ?

Thank you...

Boys in Blue aka the police

More correctly....Boys in Brown. Why do the BiB wear brown......so u know who the s^*ms are

[timewilltell]

There are no crackdowns

Lovely Thai people have been doing this for years and still do - mostly with collateral worth 10x the loan amount - front loaded interest and the advices from lovely Thai lawyers and land agents, pleased to help the poor uneducated wives of mostly good foreign husbands and fathers relive them of their inheritance and livelihood - way to go you guys carry on the good work of ridding Thailand of the foreign cockroaches and their disgusting children - unless the kids are on TV of course

There needs to be a word to describe these people - scum is not bad enough - other words are too abusive or defile something lovely (to a guy) - suggestions for an appropriate word please - race unspecific because exist everywhere - just more here

[Beetlejuice]

This must have been more than a one-man operation.

I doubt if anyone would have been afraid of a 74-year-old geriatric man. All a debtor had to do was say; I’m not paying, so what are you going to do about it? Even if passports were held, it`s easy enough to visit an embassy, allege that a passport is lost and obtain a duplicate copy.

Considering that the American and his Filipino wife both had no work permits and were working illegally, there was little chance that a debtor would have been brought to the civil court for non-payment of debt and any loan contracts would have been null and void.

These people usually have heavy’s as part of their staff and send out the message; if you don’t pay up, than we’re send the boys round. The odds are that this is a gang run outfit of loan sharks and the old guy is the person who was funding this loan business.

The reason why this guy became of such interest to the police is that they would have known he had money and ripe for extortion. It probably cost the old guy a truckload of cash to avoid being held in jail and to obtain bail for him and his wife.

I have no sympathy for anyone who would be stupid enough to loan money from these people and this lot all deserve each other.

[trevorg]

There are no crackdowns

Lovely Thai people have been doing this for years and still do - mostly with collateral worth 10x the loan amount - front loaded interest and the advices from lovely Thai lawyers and land agents, pleased to help the poor uneducated wives of mostly good foreign husbands and fathers relive them of their inheritance and livelihood - way to go you guys carry on the good work of ridding Thailand of the foreign cockroaches and their disgusting children - unless the kids are on TV of course

There needs to be a word to describe these people - scum is not bad enough - other words are too abusive or defile something lovely (to a guy) - suggestions for an appropriate word please - race unspecific because exist everywhere - just more here

Does it have to be four lettered, quim comes to mind!

I give 'loans' that will never be repaid - am i a loan jellyfish?

[COXYATCITY]

BIB = ?

Thank you...

Boys in Blue aka the police

BOYS IN BROWN

[LPCustom69]

Pawn shops charge 15% a month in the US and they hold your collateral. I doubt these folks have any real collateral.

[jeffcool]

What a Bloody liberty!!!!!!! Taking the local job......

btw.... How do we apply for a work permit as shark loan?????

[thaiedward]

Yes he was a parasite, and unlike HSBC bank, he'll be deported, while HSBC can continue front-running interest and confounding Republic of Philippines natives with extraordinary rates, and extraordinary fees. HSBC will even taunt people into re-financing and then only allow partial financing so that when eventually the creditor lapses behind in payments, the fees are doubled.

Then, of course there is Goldman Sachs who set up Greece with loans that they knew would fail, all the while selling the portfolio to those who would benefit. Or JP Morgan, who "lost" 6.5 billion US$ worth of Sino Gold shares when they were trustee for Eldorado Gold... Oh yes, "we lost 6.5 billion dollars worth of shares for many, many weeks..."

Imagine what you can make simply writing covered puts/calls on EGO (Eldorado Gold)

There is no honesty anymore, no markets, simply manipulation.

Still, 120%/year is ludicrous. Don't export the fella, incarcerate him and make him make restitution by painting floral scenes on hand-made fans. Then all will benefit, except him.

Well-spake, young man. I love the ringing-truth.

[kingstonkid]

It looks to me that the issue here is he or they didn't have work permts, and they charged too much interest, The question that comes to mind here is, all these guys from India that sell nuts and beans from a basket, that move on to become loan sharks, do they all have work permits? They are a very conspicuous enterprise with their nice motorcycles and turbins so it's probably not illegal. does anyone know the means of getting into this line of work? it looks like easy money.

I agree it sounds like if you wanted to set up a legitmate business that the money would be pretty good. I am assuming that if he had of set up his business and found a thai wife or secretary instead of his Philipino he would have been all set. Also even at 15% interest he still would have made money on what ever he started with.

Going to have to talk to my lawyer about this one sounds like the perfect business for a Farang on a retirement visa. We can do this in the states and make good money should be able to do it here to. Just have to be careful.

[moe666]

Sorry, no sympathy from me for this scumbag.

But I'll be kind and say it this way...assuming the charges are valid.... then I have no sympathy for this (alledged) scumbag.

However, please do NOT deport him to the U.S.A.

Instead deport him (or send him) to the Phillipines.

But first confiscate his U.S. passport and any money he has, so he arrives in Manilla with no money, no passport, and charges against him of loansharking money from Fillapino citizens.

In that case, he is going to be happy to be in a Fillapino jail...and still alive.

You are obviously clueless to how the U.S was built . I.e american railroads, u.s land ownership and distribution. etc. . . , try to be a little more aware of your history prior to judging an individuals very small mistake. (scumbag) seems a bit harsh, when I think of a scumbag, a pedophile, murderer or that sort of fella come to mind. Lending out a few bills is mmmm petty IMHO.

Pray tell how the US was built. Most people donot realize it was all finianced by the Brits, they got tired of fighting us and decided they could make more money building the country.

[anon467367354]

It looks to me that the issue here is he or they didn't have work permts, and they charged too much interest, The question that comes to mind here is, all these guys from India that sell nuts and beans from a basket, that move on to become loan sharks, do they all have work permits? They are a very conspicuous enterprise with their nice motorcycles and turbins so it's probably not illegal. does anyone know the means of getting into this line of work? it looks like easy money.

I agree it sounds like if you wanted to set up a legitmate business that the money would be pretty good. I am assuming that if he had of set up his business and found a thai wife or secretary instead of his Philipino he would have been all set. Also even at 15% interest he still would have made money on what ever he started with.

Going to have to talk to my lawyer about this one sounds like the perfect business for a Farang on a retirement visa. We can do this in the states and make good money should be able to do it here to. Just have to be careful.

if you get caught working with a retirement visa you're outta here. I wouldn't recommend that.

[Thailand]

BIB = ?

Thank you...

Boys in Blue aka the police

I thought it was Boys in Brown?

[frank2611]

what is the most interest that can be charged. When you look at fees by banks there is little difference in a lot of countries.

[Asianrider]

Not condoning lender in any way, but no one forced the borrowers to borrow money from him.....we will also never know what default rate he had ....

[camo007]

This is nuts... Getting a work permit is not that hard. I have one and a BOI investment company is not impossible either. Then after you have a work permit opening a lending company that lends at the max legal rate but has "monthly membership and Other fees such as to increase the money received:.

It can be done legally... Stupid people get caught too easily.

FYI... I am not in this same business. Lending to Small Business has less consumer laws. I suggest if you are interested in such business then you need to get a Thai lawyer and they will show you have to do this business legally.

[Johnniey]

evil farang taking thai jobs again...

sad to see him go, hes probably a lot better for philipinos than those thai lenders who'd have you killed by someone from sri thamarat if you're 1 day late on a 50satang payment.

Parasitical scum and good riddance to them both.

It's 10% per month and indefensible.

What? Money lending isn't that bad.

I know some expats doing this but the important thing is to have some policeman power/influence behind you.

There was an English guy near Mahasarakham about 15 years ago got shot dead by one of his clients, who owed him 200,000 baht.

Edited January 7, 2012 by Johnniey

[Jayman]

Around here 20% a month is rather typical. I know several thais that are on the hook for that. I had no idea they even had laws forbidding it.

[mrdome]

When reading some of these comments one gets the idea that some of the posters are just one step away from breaking the law.

[Jayman]

Now that I read here the law says max interest is 15% per year I started looking at my wife's thai credit cards. It seems her SCB card charges 20% per year. Is this breaking Thai law?

อัตราดอกเบี้ย

INTEREST RATE 20.00 %

Edited January 7, 2012 by Jayman

[Dap]

BIB = ?

Thank you...

Boys in Blue aka the police

Boys in Brown

[spidermike007]

Wonder how many Thais have been arrested lately for loan sharking? Interesting how they are going after farengs, and holding them up to scrutiny. Meanwhile, the Thai private (no license) loan business is thriving, and nobody gets arrested, or even scrutinized. Fascinating police work.

[Brewsta]

BIB = ?

Thank you...

BIB = Boyz In Brown....an 'affectionate' nickname for the Police.....one of the less offensive ones, that is.

regards,

Brewsta

[stevenl]

Wonder how many Thais have been arrested lately for loan sharking? Interesting how they are going after farengs, and holding them up to scrutiny. Meanwhile, the Thai private (no license) loan business is thriving, and nobody gets arrested, or even scrutinized. Fascinating police work.

Don't have any numbers, but have seen quite a few reports of Thais getting arrested for this lately.

[LivinginKata]

Not condoning lender in any way, but no one forced the borrowers to borrow money from him.....we will also never know what default rate he had ....

Yes, I not sure why so many poster said words like 'scum' and other harsh statements. Borrowing money is a way of life in Thailand, the borrower accepts the rate of 10%/ month which is not excessive in Thailand for an unsecured undocumented loan. Might be illegal but that's another story. Fact of the matter is that I know many Thais who loan money on these terms. And yes they have enforcers to ensure the monthly payments are paid. The problem this guy had was that he did not have a Thai partner in the business. Bad decision, and he will now pay the price.

[bigbamboo]

10% interest until payday is not too bad. Typical rate for the Filipinos, i would have thought. I am sure that the guy did not know about the maximum rate of interest law. Ms Alpay was his Filipina secretary, i read. Are there so many Pinoys in Phuket, 500 ?

I think my calculations are correct, according to me, he was making over 30,000 USD a month from the interest, 15 million baht @ 10% interest per month. Loan sharking

15 mill investment could earn you that kind of money if put with a very good investment company what does concern me is that the maximum interest rate is 15% per year I know a few farangs who have got into financial difficulties and are paying that type of interest per month to wealthy Thai's and dare I suggest that there are Thai loan sharks doing the same to there fellow country men/woman it is called robbing the poor to make them rich it happens all over the world unfortunatley.

Are you referring to his making 30,000 dollars a month from a 15 million baht investment! What economic world do you live in?

Edited January 7, 2012 by bigbamboo

[hansnl]

In the event that the charges are legitimate, then this man was a parasite. He can kiss his loan portfolio goodbye. I wonder what occupation he previously had. .

Amen, Omein, Satu

[lyne55]

evil farang taking thai jobs again...

sad to see him go, hes probably a lot better for philipinos than those thai lenders who'd have you killed by someone from sri thamarat if you're 1 day late on a 50satang payment.

Parasitical scum and good riddance to them both.

It's 10% per month and indefensible.

Rubbish, If people want to pay 10% then lety them pay it. It wouldnt be worth the risk for any less. Oh, and anyone who knows a bit about business knows that if your lending to people who cant obtain credit the legit way, then a massive percentage is written off for non payers. 1. Should have learnt the local rules. 2. Should have paid his tea money. 3. toooooooo old to be doing stuff like this, sit back and enjoy your retirment.

[KarenBravo]

Are you referring to his making 30,000 dollars a month from a 15 million baht investment! What economic world do you live in?

I think if you re-read the article, he has over a period of time lent out a total of 15 million baht and that he presently has 2 million in present loans.

This means he is making just under US$7000 a month and that is if everyone pays up, which I doubt happens.

I too, see nothing wrong with this business. In fact he is on the cheap side. Most Thai loan sharks charge 15% per month.

These people are just filling a gap in the market. People that need to borrow money can go nowhere else for a loan and nobody forces them to borrow. All the repayments and schedules are all laid out first before the money is handed over.

As other people have pointed out; his error was not having a Thai partner.