DSI raids loan shark king’s properties in Uthai Thani

[webfact]

DSI raids loan shark king’s properties in Uthai Thani

 

 

UTHAI THANI: -- A combined force of officials from the Department of Special Investigation (DSI) and soldiers raided 10 targets in Uthai Thani province Monday in a concerted effort to trace and impound all the assets of loan shark king Wichai Pan-ngarm or well-known as Sia Chai.

 

Seven houses owned by Sia Chai in Muang and Nong Ka Yang districts were searched and 102 land title deeds with a total areas of 700 rais worth over 400 million baht were seized for examination.

 

The raids in his hometown in Uthai Thani came after recent raids in Pathum Thani where they netted 29 land plots worth over 40 million baht.

 

Full story: http://englishnews.thaipbs.or.th/dsi-raids-loan-shark-kings-properties-uthai-thani/

 

-- © Copyright Thai PBS 2017-02-06

[gk10002000]

wow.  seems like a lot of land.  Did this guy take or allegedly take his payments in land deeds instead of cash?  Did he buy these land deeds with cash?  Would love to see his tax forms and how he made his money.  Interesting business model if the loan shark takes his payments in land or title deeds.  The deed has a lot of weight legally unless collusion or duress is proved, and it is unlikely the debtors will have the time or resources to contest anything

[Get Real]

17 minutes ago, gk10002000 said:

wow.  seems like a lot of land.  Did this guy take or allegedly take his payments in land deeds instead of cash?  Did he buy these land deeds with cash?  Would love to see his tax forms and how he made his money.  Interesting business model if the loan shark takes his payments in land or title deeds.  The deed has a lot of weight legally unless collusion or duress is proved, and it is unlikely the debtors will have the time or resources to contest anything

Siezed by authorities in a case of illegal activity. Do you think that they just going to hand the deeds back to him? It´s considered bought or acquired with methods and money that are considered criminal activities.
Don´t think that the deeds and the papers has any weight at all. The debtors already lost their land, money or properties and are no longer relevant.

[Allstars]

31 minutes ago, gk10002000 said:

wow.  seems like a lot of land.  Did this guy take or allegedly take his payments in land deeds instead of cash?  Did he buy these land deeds with cash?  Would love to see his tax forms and how he made his money.  Interesting business model if the loan shark takes his payments in land or title deeds.  The deed has a lot of weight legally unless collusion or duress is proved, and it is unlikely the debtors will have the time or resources to contest anything

The title deeds are taken as collateral for the loans

[dabhand]

16 minutes ago, gk10002000 said:

wow.  seems like a lot of land.  Did this guy take or allegedly take his payments in land deeds instead of cash?  Did he buy these land deeds with cash?  Would love to see his tax forms and how he made his money.  Interesting business model if the loan shark takes his payments in land or title deeds.  The deed has a lot of weight legally unless collusion or duress is proved, and it is unlikely the debtors will have the time or resources to contest anything

This is the business model for a lot of finance companies here. They offer loans at the legal max of 15%pa based on a sale and redemption agreement of land papers (with/without property). The loan is advanced based on approx. 25-30% of market value with repayment due after a set period - normally one year, but can be extended for further periods (max of five years, I believe). The sale in effect takes place on day one with paperwork signed off at the Land Office.

 

Quite often the borrower is desperate for the cash so full repayment often never happens. The finance company then ends up with a cheap property that they offer for sale at a level that gives them a decent profit as they will have a reasonable idea of the minimum resale value at the time the loan is given.

 

Some finance companies insist upon monthly repayments, rather than a lump sum repayment at the end of the agreed loan period. Where defaults happen in these situations it is not unknown for the finance companies to conveniently ignore any repayment of the loan repayments whilst still keeping the title to the property. They do legally own the property but the question of the reimbursement of any monthly payments prior to the loan default may need court action to be decided. Most borrowers in this situation just walk away at this point - a win win for those finance companies operating in that way.

 

I am aware of successful court action to recover monthly payments. It does take time and may mean legal action all the way to the Dika (Supreme) Court. But it is possible.

 

As for this guy's business plan. Will be rates far higher than the legal max with no expectation of anyone looking to the courts for redress, given a clear expectation of some nasty action being taken.    

[gk10002000]

49 minutes ago, Get Real said:

Siezed by authorities in a case of illegal activity. Do you think that they just going to hand the deeds back to him? It´s considered bought or acquired with methods and money that are considered criminal activities.
Don´t think that the deeds and the papers has any weight at all. The debtors already lost their land, money or properties and are no longer relevant.

no.  i didn't mean what you said at all.  I mean if there was no siezure, the debtors would never have the time or money or resources to get their stuff back

[Get Real]

1 hour ago, gk10002000 said:

no.  i didn't mean what you said at all.  I mean if there was no siezure, the debtors would never have the time or money or resources to get their stuff back

Okey! Got it wrong, sorry.

[colinneil]

Easy target for them, did they find any monks hiding there?