The gang was reportedly charging more than 20 per cent a month interest on loans and used terror tactics, violence and possibly even rape to ensure payment of interest.
The Superintendent of CSD 5, Pol Col Watcharapon Tongluan, said the raid was the result of investigation after a brother of a member of Rassada Counsel, Sutthi Pongpinwas, 44, received 15 stitches in his head and another 40 stitches in his chest after being beaten up by the gang on July 12.
Mr Sutthi, who is the owner of a shipyard in Rassada, was beaten when the gang’s enforcers became furious after he told them that one of their debtors, who had worked for him, had quit his job.
During today’s raid, officers seized more than 10 knives along with lists naming more than 100 debtors, ID cards taken from debtors, loan contracts and more than 30 bank books.
The gang’s business involved millions of baht, Col Watcharapon said, with the money for loans coming from investors in Chantaburi Province.
The gang targeted mostly night workers, vendors, labourers and day-wage workers, who were offered loans of B30,000 to B50,000 without collateral.
Interest was collected from debtors every day. Whenever a debtor could not pay he or she would be threatened or beaten up.
Officers said they had also been told that female relatives of debtors had on some occasions been raped as a way of applying pressure to pay.
They were also told that the gang were being protected by senior government officials, but this has yet to be verified. Further investigations will be conducted to discover whether it is true or not.
The CSD 5 team later raided a house in Thalang and another in Saphan Hin, and arrested three more people involved in smaller loan sharking operations.