By Our Reporter
NATIONAL
Money Lenders have been warned to stop picking National Identity Cards from borrowers as collateral.
The warning was sounded by Police Spokesperson, ACP Fred Enanga on 17th April, 2023 during the Weekly Security Address at Naguru Police Headquarters, Kampala.
Enanga who quoted the Registration of Persons Act, Section 77 (b), said, “it is an offence if a person without authority deprives or dispossesses a holder of his or her national identification card or alien’s identification card.”
He also said that under the same act, Sec. 77 (e) it is unlawful to keep or take possession of a national identification card or alien’s identification card that belongs to another person.
Enanga also warns that section 77 (f) of the same Act makes it criminal for a person to be in possession of more than one national identification card or aliens’ identification card that is intended to show the person’s identity saying such a person commits an offence and is liable on conviction to a fine not exceeding forty-eight (48) currency points or imprisonment not exceeding three years or both.
He said police has received numerous complaints from Buwenge district, Busoga Region, Dokolo and Amolatar district in Lango sub-region, and in the Greater Kampala area where cases of misuse of National IDs as collateral.
“We would like to call upon anyone whose National ID was used as collateral or confiscated to report to the nearest police for further assistance,” Enanga says.
Enanga again quoted Uganda Microfinance Regulatory Authority guidelines on money lending saying, “In their guidelines, a money lender shall not take a National ID, passport, warrant card, or other documents establishing the identity or nationality of the holder, bank savings, ATM cards and security codes for the ATM cards, as collateral for money borrowed.”
