Police warn money lenders against confiscating National IDs

Police have warned money lenders against using Nationals IDs as collateral. Police explained that National IDs have no economic or monetary value and are supposed to be used exclusively for identification.

Speaking to journalists at police headquarters in Naguru on Monday, Fred Enanga, the police spokesperson confirmed that the Police and its sister security agencies are concerned about the increased misuse of National IDs as collateral.

Enanga said this is the most common Jinja district in Busoga sub-region, Dokolo and Amolatar district in Lango sub-region, as well as in the Greater Kampala area.

He said any act of confiscation, removing, taking or handing over a National ID, as collateral is illegal as it denies the owner, the ability to use their National ID for identification while travelling or when conducting other transactions.

“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. Under the Registration of Persons Act, Section 77 (b), 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 added.

He further explained that under Section 77 (e), a person who unlawfully keeps or takes possession of a national identification card or alien’s identification card that belongs to another person; and section 77 (f), one who is in possession of more than one national identification card or aliens’ identification card that is intended to show the person’s identity, 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.

Police have, therefore, called upon all money lenders to converse themselves with regulatory dos and don’ts by the Uganda Microfinance Regulatory Authority.

According to Uganda Microfinance Regulatory Authority, 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.