Guwahati: A massive financial scam has been uncovered in Guwahati, Assam, involving a network of middlemen who have been exploiting customers by charging exorbitant commissions for loan facilitation services. The scam, which has been operating under the guise of providing loans, has resulted in significant financial losses for both customers and financial institutions.
According to reports, the middlemen surename Kalita who are allegedly linked to some bank and financial institution officials, have been charging commissions ranging from 10% to 30% for their services. They have been targeting customers who are unaware of the complexities involved in applying for loans, convincing them to pay hefty amounts for assistance with document processing.
The scam has led to a rise in Non-Performing Assets (NPAs) in the region, with many customers defaulting on their loans due to the exorbitant interest rates and fees charged by the middlemen. NPAs refer to loans that have not generated income for a lender for a certain period of time, and are considered non-performing because they are not yielding the expected returns.
The reasons behind the rise in NPAs are multifaceted, including borrower’s financial difficulties, poor credit appraisal, economic downturn, business failure, over-leveraging, interest rate increases, natural disasters, poor loan servicing, regulatory issues, fraud, willful default, and lack of collateral.
To combat the rise in NPAs and prevent such scams, lenders are urged to take swift action, including conducting thorough credit appraisals, diversifying loan portfolios, regular loan monitoring, early intervention, restructuring options, collateral management, staff training, technology adoption, risk management policies, regular portfolio review, proactive communication, legal action, write-off and provisioning, recovery efforts, and regulatory compliance.
The authorities have been urged to take immediate action against those responsible for this exploitation, and to ensure that such scams are prevented in the future. The customers who have been affected by this scam are advised to come forward and report their cases to the authorities.
