Police smash car-pawning rings across Thailand as ruthless loan sharks exploit desperate borrowers, forcing them to pawn vehicles, charging sky-high interest, and leaving victims trapped in a growing crime wave hitting the country’s most vulnerable citizens.
Bangkok police on Thursday smashed a local car-pawning ring in the capital, striking a blow against a growing crime wave. Over the past eighteen months, car-pawning scams have surged across Thailand, with makeshift lots of abandoned vehicles suddenly appearing nationwide. This crime hits hardest at the kingdom’s most financially vulnerable while also shaking the financial system to its core. Ruthless loan sharks are exploiting these schemes to trap desperate borrowers with sky-high interest rates and, worse, to seize valuable vehicles when victims cannot pay.
For the past year, the Royal Thai Police have faced a troubling new crime wave. Criminals are targeting financially desperate people through car-pawning scams. These scams are spreading rapidly, exploiting economic pressure and a lack of financial protection.
Thailand’s current economic climate is harsh. Due to tightening credit and limited liquidity, many people are struggling. In particular, vehicle owners have found it harder to repay monthly loans. As a result, motor vehicles have become a vulnerable asset.
Criminals have seized this opportunity. Loan sharks and illegal lenders are using online platforms to lure victims. They promise quick loans, easy terms and no credit checks. But instead of helping, they trick people into pawning vehicles—then disappear.
Royal Thai Police launch major crackdown on car-pawning scams affecting more than forty provinces
The Royal Thai Police have launched a nationwide crackdown. Over recent months, they have uncovered dozens of scams across more than 40 provinces. In most cases, victims never see their vehicles again. Worse still, many must keep paying instalments on cars already sold by the scammers.
On Thursday in Bangkok, the Metropolitan Police Bureau revealed a major breakthrough. Moreover, at the press conference, Pol Maj Gen Kongkrit Lertsitthikun, commander of the Highway Police Division, announced seven arrests. These were connected to two separate but related car-pawning fraud operations.
In the first case, six suspects operated a highly organised criminal ring. According to police, they split into three teams. Each team had a specific role in the scam. First, the recruiters found financially distressed victims online. Then, they persuaded them to pawn cars for fast cash.
The second team sold the cars—often the same day they received them. Many were sold through black-market networks. Some vehicles were even trafficked across the border. The third team managed the finances. Therefore, they handled the payments through a network of fake accounts.
Entire car-pawning scam network operated online. Victims were tricked into handing over vehicles for cash
Crucially, the entire operation was run online. In contrast, police confirmed that the scammers advertised on Facebook, posing as legal loan providers. Victims believed they were entering a standard loan agreement. In truth, they were handing over their vehicles to criminals.
One victim pawned a car under a hire-purchase contract for ฿77,000. Days later, she was told she had to pay ฿90,000 to reclaim it. That included interest and “admin fees.” After paying, she never heard from the lender again.
Sadly, many victims never report the crimes. Because their cars are still under financing contracts, they fear legal consequences. This silence allows criminal networks to thrive.
However, thanks to patient investigation, police have begun dismantling these networks. In this case, the suspects were identified as Sumalee Phokudsri, Kwanjira Insri, Khanthong Hongsila, Weeranat Chaiyamongkol, Kreksan Insri and Suriya Thamthathod. They are now in custody.
Car-pawning scam network ran for eight years, causing over ฿100 million and affecting more than 40 provinces
The scam ran for at least eight years. Police say it caused more than ฿100 million in total damages. It spread across nearly every region in Thailand. Then, vehicles were traced from Bangkok to border provinces. At least 40 provinces were affected.
The operation’s financial mastermind has been named as “Sia Jo.” He is believed to be a known criminal with a history of fraud. In contrast, police are continuing their search for him. More arrests are expected.
Meanwhile, another arrest involved a lone suspect in Nakhon Ratchasima. This case shows a different method, but the same criminal intent. Furthermore, a woman told police that she had been contacted via Facebook by a man named Noppadon Nanthapak.
He approached her in a deceptive way. First, he claimed to be from a wealthy family. Then, he said he worked as a loan broker and businessman. He said he operated several firms in Khao Yai. Over time, he built trust.
Victim deceived into pawning car pays huge fees while suspect sells vehicle for a fraction of its value
Eventually, the victim agreed to pawn her car. As a result, she also paid Noppadon what he claimed were “processing fees” totalling ฿150,000. Later, she discovered the car had been sold for just ฿31,000. She received nothing in return.
Fortunately, she reported the scam. Police issued a warrant and arrested Noppadon. However, they located five of the cars he had sold. These were recovered in Nakhon Ratchasima, Phetchabun and Rayong. They have now been returned to the victims.
Certainly, this was far from an isolated case. On August 10, police in Phuket broke up another car-pawning operation. This time, the scam was run by a man operating in Wichit, a district of Phuket.
Residents of Soi Charoenlap had filed complaints. They noticed suspicious vehicles—many without licence plates—left parked for weeks. In addition, motorcycles were hidden under covers outside rental units. Indeed, some appeared to have been there for months.
Wichit police seize dozens of unregistered cars and motorcycles linked to illegal high-interest loans
Acting on these reports, Wichit Police Chief Pol Col Somsak Thongkliang ordered a full investigation. The operation was led by Deputy Superintendent Pol Lt Col Thirawat Amnatcharoenying. Officers moved in on Sunday evening, August 10.
They found six unregistered cars parked along the road. They also discovered six motorcycles covered and stored in front of a rental unit. Inside the unit, more motorcycles were hidden. In total, police seized 12 motorcycles, five sedans, one pickup truck and 46 documents linked to illegal lending.
The tenant, known by the alias “Mr Wut,” admitted to pawning the vehicles. Instead, he told police that people in urgent need of cash brought them to him. He gave loans at an interest rate of 10% per month—far above the legal limit.
Notably, he operated without a licence. Police charged him with lending at excessive rates and running an unlicensed loan business. The seized evidence is being used to trace more victims.
Public tips and cooperation enabled police to recover vehicles and seize evidence from illegal lenders
Pol Col Somsak praised the public for their role. “Information from residents helped us locate the suspect, seize the evidence and return assets to victims,” he said.
Thailand’s law permits interest rates of only 15% per year on personal loans. But many illegal lenders ignore this rule. They prey on the financially vulnerable, charging rates that create impossible repayment cycles. If borrowers miss payments, they lose their property.
The problem is growing fast. As more people lose access to formal credit, they turn to informal lenders. These lenders use social media to advertise aggressively. They appear professional but operate outside the law.
Of course, many victims are afraid to go to the police. In particular, they fear legal action from finance companies or exposure of their financial troubles. As a result, they become easy prey for long-term exploitation.
Royal Thai Police monitor online lending and advise public to avoid pawning vehicles through sharks
In response, the Royal Thai Police have intensified surveillance of online lending pages. They are monitoring Facebook groups, chat apps and vehicle forums. Investigators are now working with banks to track suspicious transactions and linked accounts.
In the meantime, the public is urged to stay cautious. People should avoid pawning vehicles online, especially through informal channels. Authorities say no legitimate lender will refuse to provide identification, receipts or contract documents.
Victims are also encouraged to report scams without fear. Police say victims of fraud will not be charged for reporting the loss of a vehicle under a hire-purchase agreement.
Cunning loan shark racket offering loans secured on iCloud access to iPhone devices smashed in Bangkok
Husband of borrower with breast cancer mowed down loan shark after he refused a pause in payments
As economic pressures continue, the risk of fraud increases. The Royal Thai Police have vowed to dismantle these networks. Furthermore, they are determined to bring all offenders to justice. But they also stress the importance of community awareness.
Illegal vehicle pawning is no longer just a financial crime—it is now a national concern. Without strong enforcement, it threatens to erode public trust and economic stability. Undeniably, it is a sign of troubled times in Thailand, but the fight continues.
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Further reading:
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Incoherent government economic policy clashes with Bank of Thailand’s efforts to rein in debt
