Licensed moneylending company Hong Yang Credit fined $48,000

Licensed moneylending company Hong Yang Credit was fined $48,000 on Monday after pleading guilty to nine charges.

It was found guilty on five charges for not providing statements of account to borrowers with existing contracts, and for not issuing cash payment receipts to borrowers. It also granted an unsecured loan exceeding the prescribed limit of $3,000 to a borrower with an annual income of less than $20,000.

Another charge related to the company lending money at a venue without getting approval from the authorities. Hong Yang Credit also pleaded guilty to two charges of giving false information to the Registrar of Moneylenders.

Those convicted of breaches of the Moneylenders Act and Rules can be fined up to $40,000 and/or jailed for up to two years on each charge.