Taiwan court sentences 2 over predatory loans targeting Vietnamese workers

Taipei, April 3 (CNA) A district court has sentenced two individuals for coercion and usury after they exploited dozens of Vietnamese migrant workers by issuing loans with predatory interest rates, according to a court ruling.

The Hsinchu District Court on March 27 sentenced a woman surnamed Ho (何) to seven years and two months in prison and a man surnamed Ma (麻) to six years and two months. The ruling can be appealed.

According to the ruling, Ho, who headed the Hsinchu office of the "New Immigrants Human Rights Hope Association," also operated a wellness center and a supermarket. Ma, her boyfriend, served as an advisor to the association.

Their roles gave them access to Vietnamese migrant workers.

The court said the defendants targeted workers in urgent need of cash who were unable to secure bank loans, exploiting their precarious financial situations.

The scheme began in 2020 and came to light last year after several victims reported the case to police, leading investigators to identify 29 victims.

In one case, the defendants lent NT$200,000 (US$6,261) but deducted NT$16,000 upfront and required repayments of NT$16,000 every 15 days, equivalent to an annual interest rate of 212 percent.

The court found that when borrowers failed to repay, the defendants used abusive collection methods, including publicizing personal information, issuing threats, and committing physical assaults, in violation of the Criminal Code.