Illegal money-lending | Sinn Féin highlights ordinary families’ debt crisis

Sligo hunt for loan sharks

BY JOHN HEDGES

“PARASITICAL” and violent loan sharks preying on families struggling to make ends meet are being pursued by Sinn Féin Sligo County Councillor Seán MacManus. Seán has asked the council to back his motion urging the Government to crack down on illegal money-lenders charging interest rates anything up to 200%!
The long-standing Sinn Féin activist called for a statewide and comprehensive action plan to include new laws to increase convictions of “these parasites” and protection of victims who testify against these criminals.
Back-to-school time was one of the most lucrative times for money-lenders, he said, as well as Christmas, First Communions and Confirmations.
Seán MacManus said he has seen more cases and threats around money-lending, something he believes that is increasing because of the recession and attacks on people’s living standards and income.
“Illegal money lenders are a blight on Irish society. The fact that it is virtually always those who suffer from high levels of social and economic hardship who are at the mercy of these loan sharks makes the situation even worse,” the Sinn Féin councillor said.
“It is common knowledge that massive interest rates of up to 200% are being extorted from individuals who are unfortunate enough to have become ensnared by these illegal operators.”
He gave evidence of many people being intimidated and threatened, including physical assaults and threats on their families. Some victims flee their homes in fear.
Seán MacManus said that, as the law stands, convictions are heavily reliant on the testimony of people who are very afraid of giving evidence. It’s easy to see why money-lenders prey on people’s vulnerability and escape conviction through intimidation, he said.
The law needs to be changed to protect the most desperate families in a recession from the daily fear of violence from unscrupulous money-lenders, the Sinn Féin councillor said.
“It is obvious that the present law and the manner in which it is being implemented is inadequate to deal with the serious social problems posed by illegal money-lenders. Convictions brought under the Consumer Credit Act 1995 have been very limited.
“Consequently, there is an urgent need for the Government to review its current legislation and to introduce an action plan so that this scandalous situation can be addressed.
“Better supports are also needed to ensure greater preventative steps across our society to tackle this scourge, in particular steps to address the current levels of poverty and social exclusion which drives vulnerable people into the grasp of illegal lenders.”
The Sinn Féin councillor ended by paying tribute to Communities Against Illegal Money-Lending Sligo.
“Their work has raised awareness of the stranglehold which these lenders have on some of the most vulnerable communities in Irish society and should be welcomed. Because of the negative effects of that grip it is of the utmost importance that the Government now take urgent action to tackle this disgrace.”
The motion calling for more robust Government action against illegal money-lenders wasunanimously passed by Sligo County Council.