30 Members of Local Senior-Junior Insurance Fraud Group Who Deliberately Extorted Over 100 Million Won with 'Kung' Arrested

Jeonnam Provincial Police Agency building exterior

[Asia Economy Honam Reporting Headquarters Reporter Kim Chunsu] Neighborhood seniors and juniors gathered to carry out an insurance fraud scheme worth hundreds of millions of won but were caught by the police.

The Jeonnam Provincial Police Agency's Traffic Crime Investigation Team announced on the 3rd that after six months of persistent investigation, they arrested A (20) on charges of violating the Special Act on the Prevention of Insurance Fraud and booked 29 accomplices without detention.

A and others are suspected of defrauding insurance money by deliberately causing traffic accidents a total of 18 times from June 2018 to May of this year in the Yeonggwang and Gwangju areas.

According to the police, they were peers aged between 17 and 22, mostly students or unemployed, who had senior-junior relationships within the same neighborhood.

The main suspect A approached neighborhood friends and seniors and juniors, inducing them to participate in the crime by saying that if they caused a traffic accident and went to the hospital for treatment, they would receive insurance money, of which 300,000 won would be given to them.

A colluded with opposing drivers to deliberately cause traffic accidents, collided with vehicles violating traffic regulations, and even for minor traffic accidents, hospitalized and excessively claimed insurance money, receiving about 100 million won from insurance companies unaware of the fraud.

A Jeonnam Police Agency official urged, “To avoid becoming a target of insurance fraud crimes, it is necessary to strictly comply with traffic regulations and, if a deliberate traffic accident is suspected, to sufficiently secure evidence such as black box footage to prepare for future investigations.”

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