Deputy Speaker of Parliament, Thomas Tayebwa has decried the harassment from agents of Mangu cash, an online money lending App.
Tayebwa revealed that a harassing call from Mangu Cash agent threatened action if he failed to produce an individual who had apparently listed him as a next of kin.
In a post on X (formerly Twitter), Tayebwa expressed alarm over the call, which allegedly included threats to deduct money from his account if he did not assist in locating the borrower.
“I have just received a call from some tough-speaking lady claiming to be from Mangu Cash, threatening to deduct their loan money if I don’t produce some random person who put my name as their next of kin when they were borrowing. I think a lot of criminality is going on,” Tayebwa revealed.
He added, “I think a lot of criminality is going on.”
Tayebwa appealed to the Uganda telecoms to avoid such fraud since it embarrasses the reputation of the companies.
“I hope our telecoms do not allow their mobile money platforms to be used to carry out fraud orchestrated by such unscrupulous companies,” he appealed.
Tayebwa also appealed to the Director of Criminal Investigations, Tom Magambo to investigate the matter of the online money lending companies.
“Tom Magambo, you need to interest yourself in this sector. Many Ugandans might be dying quietly,” Tayebwa appealed.
Most of the online money lending Apps operate illegally and traumatize Ugandans with abnormal interest rates ranging from 28% to 37% and questionable practices of threats and blackmail.
Some of the apps include; iKash, Flypesa, banana app, Loango, Nile, gloan app, Boom loan, Mpacash, Cashpulse, Credit lab, Flowerloan, Wind-money, Lever credit, Cashmate, Ezee loan, Kasente, Sunlit, Wind money, Cashflow, Moji, Ozzy money, Mumu money, Kasquick, More Pesa, Muno, My loan, Real Cash, Star Loan, Get Cash.
One victim of iKash narrated that his photo and national ID were recorded in a tiktok video which circulated allover alleging that he is a serial thief of motorcycles and when found should be reported to the nearest police station.
The recording came out after him delaying to pay back a debt of Shs100, 000 having been given a loan of Shs50.000 and had to give them a profit of Shs50,000 within one week.
Like other Apps, iKash stretched to the next of kin/emergency contacts of the borrower without their knowledge and consent, harassed and tormented them using their unprofessional loan recovery agents and tagged them as the dealers in the theft of motorcycles in the suburbs of Kampala.
Unlike banks and other financial institutions that ask for collateral to acquire a loan, the instant loan app requires the applicant to have a national identity card and two guarantors.
