Following a public outcry over money lenders seizing national identification cards from their clients, police have warned all micro‑loan lenders that using any identification documents as collateral is illegal. The caution was issued on Monday by police spokesperson Fred Enanga, who said law enforcement has observed a growing habit among money lenders to confiscate national ID cards from borrowers who lack other security.
Enanga told the press that this practice is both illegal and criminal, and that police and sister security agencies will treat it as such. “We are concerned about this misuse of national IDs as collateral. We have received complaints especially from the Busoga region, Dokolo, Lango and other districts in the central region,” he said. He emphasized that national IDs have no economic or financial value and must be used exclusively for identification purposes. “Any act of confiscation, taking or handing over a national ID as collateral is criminal because it denies the owner the ability to use it for identification, for transactions where it is required, and for movement while traveling,” Enanga added.
He encouraged anyone whose ID has been used as collateral or confiscated to report the incident to the nearest police station for assistance. Under the Registration of Persons Act, section 77b, it is an offense for an unauthorized person to deprive the holder of a national ID, and it is unlawful to take possession of another person’s ID without permission.
From now on, police will conduct raids on money‑lender offices to search for ID cards, and anyone found in possession of them will be charged in court. This development comes at a critical time, as the National Identification Registration Authority (NIRA) prepares to renew all national IDs that are soon expiring.
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