A NEW INITIATIVE TO TARGET LOAN SHARKS in North East Lincolnshire, has been backed by Shona McIsaac. The Stop Loan Sharks campaign - which is funded by the Government - aims to get people out of the hands of illegal money lenders who fund luxury lifestyles on debts that people can never pay off because of extortionate levels of interest. 

The campaign was launched on Friday at the Parkway Cinema in Cleethorpes.

Explaining why she supported the campaign, Shona said:

'The case of Paul Nicholson demonstrates the evil that can surround loan sharks. He is currently in prison having been found guilty in March 2009 of raping a client, assault, blackmail and illegal money lending. His girlfriend who helped him run Falcon Securities is also in prison. His trial hit the national headlines and shone a spotlight on to the activities of loan sharks. He made £800,000 a year by preying on vulnerable people who were desperate for money. He owned a million-pound mansion in Cheshire and a villa in Spain all paid for through extorting money from his 800 customers. If any of his clients couldn't meet their ever-increasing debt, he would threaten and use violence and he forced women in prostitution in order to get money. He knew where people's children went to school and where other family members lived. One of his clients even committed suicide. Enforcers carry guns and knives. There are links with drugs and prostitution. People get forced into crime to pay their dent to the loan sharks. If loan sharks are taken out, crime falls.

'Another loan shark jailed earlier in 2009, was John Kiely. He lived in a seven-bedroom mansion worth £900,000 and lived a life of lavish luxury from the 1,200 customers he had on a Manchester Council Estate. One woman, who borrowed money for her wedding dress, had a concrete slab put through her window when she struggled to meet repayments. He even threatened to shoot her.

'Loan sharks target areas where people live in rented accommodation and are unlikely to have bank accounts. The 'customers' are often on low or fixed incomes. Even for those that do have bank accounts in the areas where loan sharks are active, there are no banks or ATMs that are easily accessible and the people concerned can't get overdrafts or have already gone to the maximum on credit cards.

'This is a serious crime and we need to all work together to tackle it. People need to be brave and come forward and report the activities of loan sharks. Paul Nicholson and John Kiely are in prison because people came forward.

'In my time as MP dealing with people's problems, I have come across many cases where people are struggling with debt and they are vulnerable to loan sharks.

'People don't need to go to loan sharks to get money. There are legal ways to borrow money - even for those on very limited means. Banks can offer basic bank accounts to people and North East Lincolnshire Credit Union provide a fantastic service.'    

WHERE TO GET HELP:

On the phone
0300 555 2222
(local call rate, including
inclusive mobile minutes)

By text/SMS
Text loan shark and your
message to 60003
(texts charged at your network's standard rate)

By email
Send a message to: reportaloanshark@
stoploansharks.gov.uk

 

From the Grimsby Telegraph
5 October 2009

Team to Tackle Loan Shark Misery

A specialist team that tackles loan sharks is now operating in North East Lincolnshire.

The Stop Loan Sharks team, launched in the Midlands in 2004, offers a hotline service, which people can call if they find themselves in hot water with illegal money lenders.

Councillors, local MPs and third sector workers were among those who attended the campaign launch at the Parkway Cinema in Cleethorpes.

Jacqui Kennedy OBE, of the Stop Loan Sharks team, said: "These people are in it for themselves and prey on vulnerable people.

"Nationally the campaign has more than 400 targets, has written off more than £30-million of illegal debt and helped more than 10,000 victims.

"With the recession, these people, who often live luxury lifestyles, are likely to attract more victims."

The government-funded team, which works alongside trading standards and the police, investigates illegal money lending, with the aim of prosecuting individuals under the Proceeds of Crime Act.

Speaking at the launch, Jacqui said: "Today we have talked about a number of situations where people have been threatened by loan sharks and even physically abused.

"Because the money lenders do not have a consumer credit licence, they cannot collect these debts legally and so they often use violence to get the money back."

MP for Grimsby Austin Mitchell, who attended the launch event, said he thought the project was "fantastic".

He said: "People cannot gather evidence against these criminals if they are not reported and this is a great way to tackle the issue."

MP for Cleethorpes Shona McIsaac said: "It's been a brilliant launch and I think the hotline will make a great difference in the area."

Andy Foster, NELC's trading standards manager, said the initiative would see trading standards take more of a role to alleviate the misery caused by illegal money lenders.

North East Lincolnshire Credit Union was also praised and Councillor Peter Bailey, who is a volunteer worker for the not-for-profit organisation, said it's all about "ensuring the financially excluded are included".

He said: "The Credit Union is mutually-owned and offers savings and great value loans."

To report a loan shark, call the hotline, in confidence, on 0300 5552222, or text "loan (space) shark (space) + your message" to 60003.

To find out more about North East Lincolnshire Credit Union, call (01472) 361990