Moneylender Trap: Man's 1.75 Cr Loan Becomes 147 Cr, Judge Calls It 'Spine-Chilling'

• A man in Singapore took a 1.75 crore rupee loan from a licensed moneylender in 2010.
• Due to high interest (4-8% monthly) and S$2,500 processing fees, the debt ballooned to 147 crore rupees by 2021.
• He was forced to sell his 14 crore rupee house to the moneylender's director in 2016, becoming a tenant in his own home, paying 5-6 lakh rent monthly.
• High Court Judge Philip Jeyaretnam called the debt escalation "conscience-shocking" and ordered a retrial to investigate potential usury and fraud.
• The case highlights the critical importance of understanding loan terms and exercising extreme caution, even with licensed lenders.

Why It Matters: Always read loan fine print; even licensed lenders can trap borrowers in 'conscience-shocking' debt.