Loan shark sentenced to 12 months in prison

Mohammed Aslam

A Rochdale man has been sentenced to 12 months in prison after being convicted of his involvement in an illegal money lending business.

Mohammed Aslam, 60 ,of Castlemere Street was sentenced at Manchester Minshull Street Crown Court after pleading guilty to the offence at an earlier hearing.

Aslam lent money illegally to members of the local Asian community for nearly two years. He held no license and offered no paperwork to borrowers.

During a warrant at his home in October 2011, £800 in cash was found. He handed officers records of the illegal business and passports, driving licences and vehicle documents which he had taken from borrowers as security on the loans.

On behalf of the prosecution Simon Mortimer explained to the court that whilst the true scale of the illegal business is unclear, Aslam’s own records showed that he had loaned almost £190,000 during the two years, to around 15 victims, with a return in excess of £60,000 still recorded as due to him.

One victim described how he borrowed £1,000 from Aslam paying back £60 a week until he could pay back the whole £1,000 in one lump sum. As he began to struggle to keep up with repayments he took out further loans until it reached a point where he was paying back more than £500 a week in interest, without ever clearing any of his balance. He pawned his wife’s jewellery and re-mortgaged his home, but still struggled to keep paying.

Upon sentencing His Honour Judge Lakin said Aslam: “Played a central role in the provision of loans of over £187,000, in many views a substantial and well organised business. The impact of your actions is particularly serious in the respect of one man; you must have known and recognised he was digging himself deeper and deeper into a financial hole. Knowing that you continued to offer loans and collect money. The impact is properly described as horrific.”

Further enquiries into a second suspect in relation to this case are ongoing.

Tony Quigley Head of the Illegal Money Lending Team , based at Birmingham City Council, said “Illegal money lenders like Aslam are a scourge on our communities. Motivated by greed, they draw extortionate amounts of money leaving their victims with no quality of life. Not only are their victims left suffering with financial difficulties, but the loan sharks actions also have a hugely detrimental impact on the lives of their victims and other around them. This successful conviction send a clear message that illegal money lending will not be tolerated, and we will continue to crack down on this crime. We would urge anyone aware of any loan sharking activity to call us in confidence on 0300 555 2222” 

Nationally the illegal money lending teams have secured 220 prosecutions for illegal money lending and related activity, leading to almost 150 years worth of custodial sentences. They have written off almost £40 million worth of illegal debt and helped over 19,000 victims.