Many people have faced inconveniences due to online lending companies operating in the country without obtaining the permission to give loans using internet or telephone, as stipulated by the Central Bank of Sri Lanka (CBSL) in 2019.
“Though online transactions are possible under the Electronic Transactions Act, compliance with the CBSL circular is mandatory for lending”
It has now been revealed that most of the lending companies have obtained company registration in Sri Lanka as a Sri Lankan company, but their parent companies are operating from overseas.
Accordingly, economic experts pointed out that online loans will add more pressure on the country which is already going through an economic crisis.
The reason for this is that the amount deposited at these institutions that exploit the customers on 50% or 100% interest, ends up in another country.
Since none of these institutions have been registered with the CBSL, the source of origin of the money earned by the companies and where the amount ends up remain a question.
Doubts have also been raised whether a part of this money is used to fund the underworld and drug dealers.
What does the Cyber Crime Unit say?
The Cyber Crime Unit of the Criminal Investigation Department (CID) said that those who are facing inconveniences due to the actions, pressures and other intimidations caused by these institutions can complain to the police in their jurisdiction.
Online lenders impersonate police officers
Meanwhile, these institutions are also carrying out a campaign of intimidation by sending fake messages saying that there are police complaints against the borrowers.
It has now been revealed that these groups also receive the support of corrupt police officers.
Below is an SMS with a fake complaint number sent by one such company.
Online loans that lead to conflicts between countries
Meanwhile, Indian media reported that the police investigating the suicide of a family of four in Kerala, India, have turned their attention to a group operating from Sri Lanka that gives instant loans online.
Below is a report published on the incident.
On September 12, 39-year-old Nijo, his wife Shilpa (32) died by suicide and their bodies were found at home. Their children Abel (7) and Aaron (5) were killed by suffocation.
The investigation took a turn when the police found the number used to send obscene pictures of one of the deceased to his relatives.
“During the investigation, we realized that Shilpa had obtained loans from online lending institutions. She had difficulty repaying them. Later, these companies resorted to sending obscene messages to Shilpa and their relatives. When we looked at that mobile phone number, we realized that it was registered in Sri Lanka. In fact, those groups have been operating from Sri Lanka,” said an Indian police spokesperson.
Diplomatic sources said that this situation can affect the goodwill between the countries as well.
We will make a full disclosure about these companies including their boards of directors in the future.
The Criminal Investigation Department (CID) informed the Colombo Fort Magistrate’s Court today (June 24) that it has launched an investigation into the overseas trips made by former President Ranil Wickremesinghe during his tenure as president.
The CID reported the facts to the court and stated that the investigation is being conducted under the Public Property Act.
As part of the “Clean Sri Lanka” initiative, a development project has been proposed to enhance the area surrounding the Nelumwewa hot springs in Welikanda, Polonnaruwa, with the aim of promoting it as a tourist attraction.
A discussion regarding the proposed development was held this morning (June 24) at the site, followed by a field inspection.
Until now, the hot springs area has not been adequately developed, leading to a diminished interest from both local and international tourists.
During the discussion, attention was drawn to the importance of developing the Nelumwewa hot springs, the site’s tourism and scientific potential and its current condition.
Proposals currently being evaluated involve enhancing forest cover in the surrounding area, beautifying the island adjacent to the hot springs and building a bridge from the mainland to the island to facilitate better access for visitors.
Among those present were Deputy Minister of Housing T.B. Sarath, Chairman of the Welikanda Pradeshiya Sabha, D.W. Wasantha, retired hydrologist Prof. Dharma Gunawardena of the University of Peradeniya and officials from the Clean Sri Lanka Secretariat, the Mahaweli Authority, the Sri Lanka Tourism Development Authority, the Welikanda Divisional Secretariat and several other institutions.
A group of 22 students from Oluwil University have been suspended for allegedly ragging first-year students, Vice Chancellor Prof. S.M. Junaideen said.
The university’s Registrar, M.I. Naufer, stated that a special committee made up of university professors has been appointed to carry out a formal investigation into the incident.
According to preliminary reports, a group of second-year students from the Engineering Faculty were involved in ragging several first-year students. University authorities said strict disciplinary action would be taken based on the findings of the investigation.
The incident has raised fresh concerns about ragging in universities, which remains a serious issue despite longstanding efforts to eliminate the practice from Sri Lanka’s higher education institutions.
(dailymirror.lk)
(This story, originally published by dailymirror.lk has not been edited by SLM staff)