11 illegal lenders arrested for '6,400% annual interest rate'

The Daegu Metropolitan Police Agency arrested 11 people on charges of illegal lending businesses that paid ultra-high interest, arrested 3 people and handed them over to the prosecution.

They are accused of borrowing about 890 million won to 48 debtors for a year from June last year and then extorting up to 6400% of high interest per year, exceeding the legal maximum interest rate of 20%.

Some of them were also found to have illegally collected, such as making threatening calls or repeatedly sending messages to try to collect debts.

The police made additional preservation before the indictment so that they could not dispose of 320 million won in criminal proceeds.