Loan sharks in Mardan fleecing poor, needy people

MARDAN: Giving loans on high interest rate to the poor and needy people has become a profitable and thriving business in Mardan, which has ruined several families in the district.

According to a survey conducted by The News, most of the people who received loans in return for huge interest have either lost valuables, property and even houses to the lenders or they have left their abodes to escape consequences.

The people involved in this business give money to the needy people and then receive it with heavy interest.

If the borrowers are not able to pay the huge interest the lenders grab their
property, businesses and houses.It was learnt that criminals, traders and businessmen were found involved in the business of private loans.

A number of people asked the government, particularly police high-ups to take action against the un-Islamic business in the district. Syed Kamal Shah, chairman of Amn Jirga Khyber Pakhtunkhwa, has launched a campaign against the private loan business in the district.

The members of the jirga have put up banners in different parts of the Mardan city especially on prominent places against the practice. The drive has yielded positive results as several people involved in this un-Islamic practice have quit this business.

The lenders have also published advertisements in the local Urdu newspapers mentioning that that they had quit this un-Islamic business.When contacted, District Police Officer Faisal Shahzad said that they had taken strict action against these elements and arrested several people.

He said the accused had been charged under 16 MPO and other sections as there was no proper law to register cases against them. “The lenders have been asked to get the capital amount from the borrowers and do not receive interest,” the DPO added.

He said the interest-based business was creating law and order situation in the district. It may be mentioned here that the provincial assembly on Friday last introduced the Khyber Pakhtunkhwa Prohibition of Interest on Private Loans Bill to bring an end to usury. People belonging to different walks of life have welcomed the move and said that if legislation was carried out a large number of people will get rid of this menace.