Bike-borne usurer who levied interest by the hour arrested

Rs 80,310 and a two-wheeler that he used as mobile office seized

Rs 80,310 and a two-wheeler that he used as mobile office seized

The Fraud and Misappropriation Squad sleuths of Central Crime Branch have nabbed a 45-year-old wine shop owner who was running an illegal moneylending business, collecting exorbitant interest rates from gullible people.

MAN AND HIS MACHINE: Arrested moneylender Lakkanna and his seized two-wheeler. The money recovered from him is also seen

The accused Lakkanna, who runs Kaveri Bar in Nandini Layout, used to give credit to vendors and petty businessmen on a daily interest basis. S M Bidri, the Commissioner of Police informed that Lakkanna would lend
out money on per hour and per day interest basis to small time vendors and hawkers.

The police made the arrest last week. They have recovered a two-wheeler and Rs 80,310 cash from him.

Lakkanna used his two-wheeler as a mobile office to operate his business.u00a0 He carried stamp papers, documents and even cash in the two-wheeler's dicky. He used to identify people who were in need of money and offer them instant loans. His interest rate would range from 20 to 30 per cent depending upon people's urgency, informed the police.

Preliminary investigations have revealed that Lakkanna has lent out around Rs 60 lakh to various customers. He even sent out goons to recover the interest and loan amount from his borrowers.

Lakkanna used to get blank cheques signed and get people's thumb impression who availed loans on blank papers.

His major customers included vendors and hawkers living in and around the city who sought Rs 200 from him everyday for investing in vegetables and other goods.

Lakkanna would give them Rs 150 in the morning and would collect Rs 200 in the evening thus earning a profit of Rs 50 per person.

Based on a tip off, a team of police nabbed him red handed and seized his two-wheeler. The police have recovered several blank cheques of various banks and thumb impressions of hundreds of people who have taken loan from him.

Lakkanna has been booked under the Karnataka Moneylenders Act.