Ilaisaane Malupo was sentenced on 26 May 2026 in the Auckland District Court to 150 hours of community service, $15,000 restitution payable at $40 per week and a two-year ban from lending operations.
Judge David Sharp imposed the sentence after Malupo pleaded guilty to providing a financial service without registration under the Financial Service Providers (Registration and Dispute Resolution) Act 2008 and attempting to deceive or knowingly mislead the Commerce Commission under the Commerce Act 1986.
The Commerce Commission prosecuted the case. Malupo had operated Nane Loans, targeting members of South Auckland's Tongan community with unregistered personal loans.
Rates, Fees and Collateral
Weekly interest rates ranged from 8% to 15%. Rates doubled if loans were not repaid within 28 days. Late payment fees were $10 per day. Security was often taken against culturally significant items such as Koloa.
Defaulting borrowers faced public shaming on Facebook and Tongan media.
Thirteen Months of Warnings Ignored
The Commission opened its investigation in January 2025 following complaints. A May 2024 complaint led to a July 2024 warning letter. Malupo initially assured the Commission she would cease operations but continued lending.
Three further warning letters followed. A formal “stop now” letter was issued in April 2025. Charges were filed on or around 4 June 2025.
Malupo breached bail in September 2025 by lending again after charges were laid.
Harm to Vulnerable Borrowers
Associate Commissioner Joseph Liavaʻa stated that many borrowers were already under financial pressure and on low incomes. Some used loans for food or to pay other debts. Some sold sentimental possessions or missed rent payments.
“Public shaming is never ok and could put borrowers in a vulnerable position to avoid being called out for their friends and family to see.” — Associate Commissioner Joseph Liavaʻa, Commerce Commission
The Commission prioritised stopping new loans and enforcement of existing ones. It is contacting affected borrowers about possible remedies.
Registration Requirements and the Lending Ban
All consumer credit providers in New Zealand must be registered on the Financial Service Providers Register and certified by the Commerce Commission. Certification requires proof of financial soundness, honesty, reputation, reliability and competence.
The Commission maintains a public register of certified, exempt, cancelled and refused lenders.
The two-year lending ban removes Malupo from the market. The sentence reflects her limited means, with no assets and $62 weekly income declared to the court.
The case forms part of the Commission’s enforcement focus on unregistered lending to vulnerable consumers. Responsibilities under the CCCFA are scheduled to transfer to the Financial Markets Authority under 2026 legislative amendments.
Consumers can check the certified lenders register before borrowing.
