Two Suspects Arrested for Defrauding Over 2.4 Billion Won Operating 'Fake Gold Price Options Trading Site'

Open chat room investment scam lure screen. Photo by Jeonnam Police Agency

[Asia Economy Honam Reporting Headquarters Reporter Kim Chunsu] Recently, scams that deceive victims with phrases such as "small investment, high returns guaranteed," "100% principal guaranteed," "home-based investment," and "profit certification," and then embezzle investment funds under the guise of various investments have been rampant, requiring caution. Amid this, two suspects involved in a 2.4 billion KRW investment fraud using a fake gold price options trading site were arrested by the police.

The Cyber Crime Investigation Unit of the Jeonnam Provincial Police Agency announced on the 21st that they have arrested and sent to prosecution A (28) and B (27) on charges of fraud and violation of the Electronic Financial Transactions Act.

A and others are accused of operating a fake gold price options trading site called '○○Option' from June until last month, defrauding 18 victims of over 2.4 billion KRW. The police seized approximately 550 million KRW in cash proceeds from the crime at the time of arrest.

They lured victims by opening public chat rooms on social networking services (SNS) with claims such as "guaranteed financial returns through gold price options trading," then deceived victims by saying "if you invest according to expert guidance, you can earn high returns in a short time," or by using accomplices to "certify profits," thereby embezzling investment funds.

Cash seized at the arrest scene: 550 million KRW and cash cards for dummy accounts.
Photo by Jeonnam Police Agency.

They manipulated programs and profits to deceive victims into believing they had earned high returns, then demanded more money deposits on the condition of withdrawing profits.

The police warned that scams disguised as investments in overseas futures, gold, virtual assets, etc., are rampant targeting financially struggling citizens due to the spread of COVID-19.

A police official said, "We are expanding the investigation to include the sales promotion team involved in the gold investment scam and those supplying fake corporate accounts," and added, "We plan to strengthen crackdowns on investment scam sites."

This content was produced with the assistance of AI translation services.