Indian money-lenders charging high interests

Dubai, May 17 (UNI) Some Indian money-lenders, who exploit expatriate workers in Qatar, are tricking them in taking bigger loans to send remittances home and seek repayment from them in three installments at exorbitant rates of interest.

A large number of workers from Kerala are tricked into the illegal loan operations, community sources said.

The remitter pays one-third of the amount plus a premium to the 'blade' operators as they are known, because of the high interests charged.

The practice, considered usury, is strictly prohibited by Islam and is therefore punishable under Qatari laws, news reports said.

In spite of this, the practice is rampant among the Malayali community here with even wealthier community members falling prey.

The victims are forced to pay 100 Qatari riyals as monthly interest for every 1000 riyals borrowed.

Community efforts to discourage the illegal practices have failed so far, reports said.

UNI XC SHB ND1558