Government Blocks 27 Apps That Provide Fake Loans

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Friyana Munshi

New Delhi, March 18, 2021: The government has blocked 27 digitally distributed loan applications in the country. This information has been provided by the government in response to the questions raised in Parliament. In response to a question about the Chinese lending app that ruined the lives of borrowers and frauds, the government has said that not only the Home Ministry and the Ministry of Electronics but also the State Governments have been asked to take action in this aspect.

Minister of State for Finance Anurag Thakur said that the Ministry of Electronics had received a request from the Ministry of Home Affairs to block 27 loan applications which have been blocked. The government has also stated that in view of the seriousness of the matter, all banks, and non-banking financial institutions need to submit information regarding the appointed agents for digital loans on their website. Also, it has been made clear by the government that for such an app, it will also be necessary to tell which bank or non-banking financial institution they are working for as agents.

Instructions to take drastic measures to assist customers

The Central Government approached the Chief Secretaries of the State Governments regarding the matter and requested them to take strict measures through security agencies. The regional offices of the banks have been instructed to immediately deal with any fraud to the state police. In view of the seriousness of the matter, the Reserve Bank should also set up a working committee in the month of January this year, which has been tasked to make suggestions after studying all aspects of such cases so that customers can receive maximum assistance.