Alexander Ali Baba, a 66-year-old Ghanaian national from Morden, south London, has been jailed for 12 months after pleading guilty to running a predatory, multi-million-pound illegal money-lending business.
Sentencing him at Kingston upon Thames Crown Court, Recorder William Featherby KC rejected the defendant’s claims that he was operating a traditional “sou-sou” money-sharing scheme or that he was unaware his actions were illegal, describing the operation as a highly organized, predatory business targeting financially vulnerable people.
The England Illegal Money Lending Team (IMLT), in partnership with the Metropolitan Police and Merton Council Trading Standards, launched an investigation in March 2025.
This culminated in Ali Baba’s arrest on October 15, 2025, at his home. Following his arrest, the defendant suffered a medical episode and briefly flew to Ghana before returning to face questioning.
Prosecutor Ben Irwin revealed that between January 2020 and October 2025, Ali Baba ran the operation from his south London home and his Mitcham grocery store.
Financial analysis of his 14 bank accounts and seized ledgers showed he issued approximately 2,275 undocumented loans ranging from £500 to £3,000.
In total, he lent over £4.7 million and expected £6.6 million in return. He enforced exorbitant interest rates between 30% and 100%, and managed records informally using handwritten notebooks, envelopes, and WhatsApp.
Searches of his properties uncovered over £155,000 in cash, alongside loan books and borrowers’ identification documents.
The court heard that Ali Baba used aggressive tactics and heavy penalties to enforce repayments, including a £140 fee for a single missed payment.
Victims reported feeling deeply intimidated, with one pregnant borrower suffering a miscarriage from stress after being shouted at by the defendant, who claimed she still owed £3,000 on a £3,000 loan due entirely to accumulated penalties.
While the defense argued that Ali Baba began lending out of a genuine desire to help his community and now felt remorse, the judge maintained that the operation was an exploitative enterprise.
Dave Benbow, head of the IMLT, warned that illegal lenders often masquerade as community helpers while exploiting the vulnerable, and urged anyone affected by similar operations to come forward for support.
By: Rainbowradioonline.com/Ghana
