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Police investigated after noticing a 30 per cent rise in the number of debt-related criminal damage and intimidation cases in two districts in the first two months of the year. Sun Yeung

Hong Kong police arrest 13 people in crackdown on illegal debt collection gangs accused of splashing red paint, intimidation

  • Groups operated in Wong Tai Sin and Sai Kung, allegedly splashing red paint on buildings, damaging door locks and making intimidating phone calls, police say
  • Thirteen arrested on suspicion of criminal damage and intimidation, all released on bail pending further investigation
Hong Kong police have arrested 13 people in a five-day crackdown on illegal debt collection gangs accused of splashing red paint on buildings and making threatening phone calls over outstanding loan payments.

Acting Chief Inspector Ng Ping-sum of the Wong Tai Sin district crime squad said on Tuesday the 12 men and one woman detained in a series of raids between Monday and Friday last week were linked to 19 cases of debt-related criminal damage and intimidation involving HK$3.7 million (US$473,000) in loans.

He said the groups operated in Wong Tai Sin and Sai Kung, using strong-arm tactics such as splashing red paint on buildings, damaging door locks and making intimidating phone calls.

“Ten of them were owners of registered SIM cards and the remaining three were accused of being involved in the distribution of debt collection slips,” Ng said.

He said a police investigation suggested criminals paid SIM card holders between hundreds of dollars and HK$1,000 each, using the items to make the calls to debtors.

The investigation also revealed some of the suspects were linked to cases of debt-related criminal damage and intimidation that took place in other districts, Ng said.

Police launched the five-day operation, code-named “DefeatEnemy”, after noticing a 30 per cent rise in the number of debt-related criminal damage and intimidation cases in Wong Tai Sin and Sai Kung in the first two months of the year.

The 13 suspects, aged from 19 to 61, were detained on suspicion of criminal damage and intimidation – offences punishable by up to 10 years in jail.

The suspects included transport workers, waiters and those without employment.

The group have been released on bail pending further investigation, according to police.

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Acting Chief Inspector Ng said the investigation into those behind the gangs was still under way and further arrests were possible.

Inspector Lam Kin-yu of the Wong Tai Sin district intelligence unit said police discovered criminals misused some debtors’ personal information to register SIM cards and make intimidating calls to other victims, or set up virtual bank accounts to launder crime proceeds.

He urged those in need of financial assistance to seek loans from licensed and reputable financial companies and pay attention to the terms and conditions of their contracts.

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Lam said residents should never lend, rent or sell their bank accounts to others for handling funds of unknown origin, as it might constitute a money-laundering offence punishable by up to 14 years in jail and a HK$5 million fine.

Last year, police handled 1,505 reports of criminal intimidation across the city, a 10.6 per cent increase from 1,361 cases logged in 2022.

Reports of criminal damage rose by 2.4 per cent to 5,298 in 2023 from 5,172 the year before.

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