Law enforcement officers in Uzbekistan’s Tashkent region have dismantled a criminal group accused of defrauding more than 400 people of nearly 17 billion soums by promising to arrange interest-free and preferential loans.

The group posted fake advertisements online offering assistance with obtaining low-interest and interest-free loans.

Potential customers were invited to luxurious rented offices designed to create the impression of a reputable and reliable company.

The suspects persuaded people to take out bank loans in their own names, promising to pay the monthly installments themselves. In return, the clients were required to hand over half of the borrowed money.

For example, customers were offered loans of 100 million soums. They would receive 50 million soums, while the remaining 50 million would go to the company. Believing the promises, victims took out loans through mobile banking applications.

The scam was uncovered only later, when banks began sending borrowers official demands to repay their outstanding debts. The total damage caused by the scheme is estimated at around 17 billion soums.

A criminal case has been opened under Article 168, “Fraud,” of Uzbekistan’s Criminal Code. During an investigation, six members of the group were detained and remanded in custody. Investigative proceedings are continuing.