Lahore loan-app recovery network accused by Pakistan’s NCCIA of turning borrowers’ photos into fake obscene images with AI to force repayment; 39 arrested
Daily Pakistan reported on 6 October 2026 that Pakistan’s National Cyber Crime Investigation Agency (NCCIA) raided an alleged illegal loan-recovery network in Lahore and arrested 39 people. Investigators allege that the network lent money through illegal loan applications, gained access to borrowers’ contacts and photo galleries through the apps, and, when repayments were delayed or more money was demanded, used artificial intelligence to manipulate borrowers’ photographs into fake obscene images. Victims were reportedly threatened with having the fabricated material sent to their family members and contacts unless they paid. The agency says a criminal case has been registered and that seized devices have been sent for forensic examination. The number of borrowers targeted is not reported, and the allegations have not been tested in court.
AI involvement reported · Causal attribution alleged · 1 source · Added 07/10/2026