Fraudulent loans

Other Names:
Loan fraud

Loans obtained through or with an element of fraud, or which are used for purposes other than those intended, including diversion to the benefit of a few influential individuals. In some cases the borrower has no intention of using the loan for its stated purpose, and the lending institution may even be aware of this.


In the Philippines the Bataan Nuclear Power Plant loan, worth US$2.5 billion is cited as one of the most blatant examples of a fraudulent transaction in that country.

Broader Problems:
Inappropriate loans
Commerce Credit
Societal Problems Crime
Related UN Sustainable Development Goals:
GOAL 8: Decent Work and Economic GrowthGOAL 16: Peace and Justice Strong InstitutionsGOAL 17: Partnerships to achieve the Goal
Problem Type:
E: Emanations of other problems
Date of last update
04.10.2020 – 22:48 CEST