Source: Radio New Zealand
The Commerce Commission is trying to contact borrowers who had a loan from Ilaisaane Malupo, trading as Nane Easy Loan Finance Services. (File photo) 123RF
The Commerce Commission is looking for borrowers who might have received illegal loans from a lender in South Auckland.
Ilaisaane Malupo, trading as Nane Easy Loan Finance Services, admitted providing personal loans illegally to members of the Tongan community.
Commerce Commission deputy chairperson Anne Callinan said the commission was now trying to contact affected borrowers who could be entitled to financial compensation, if there were available funds.
“Ms Malupo failed to keep accurate records, and destroyed others, meaning we do not have the details of all affected borrowers,” Callinan said.
“This is why the commission is taking the step of appealing to the public to get in contact with us if they, or someone they know, borrowed from Ms Malupo.
“While Ms Malupo’s financial position is currently unclear, we do need to hear from affected borrowers as they could be eligible for financial compensation if there are funds available for this purpose.”
One of the charges was brought under the Financial Service Providers (Registration and Dispute Resolution) Act (FSPA), which required all consumer lenders must be registered to provide consumer credit.
Malupo did not obtain registration despite repeated prompts and guidance from the commission and continued to lend, knowingly in breach of the FSPA, Callinan said.
Her terms included interest rates of up to 15 percent per week.
“This amount would double if borrowers failed to repay their loans within 28 days. Late fees of up to $10 per day would also be charged,” Callinan said.
“This put some borrowers, who were already struggling financially, in an even more difficult position. Some would sell sentimental possessions or miss rent payments to keep up with repayments.”
In some cases, Malupo threatened that borrowers who fell behind on repayments would be publicly exposed on Facebook or other Tongan media sites.
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
