Solar Fraud Group Scams 17.5 Billion Won from 854 People Using '10% Deposit' Bait

Jeonnam Provincial Police Agency building exterior

[Asia Economy Reporter Oh Su-yeon] A group that deceived victims by promising to install solar power facilities for only 10% of the down payment has been arrested in large numbers. The number of victims nationwide amounts to 854, with damages reaching 17.5 billion KRW.

The Jeonnam Provincial Police Agency's Anti-Corruption and Economic Crime Investigation Unit 1 announced on the 18th that 13 people, including Mr. A, were arrested on charges of fraud under the Act on the Aggravated Punishment of Specific Economic Crimes and sent to the prosecution. Additionally, 18 others involved in the fraud were booked without detention on the same charges.

According to the police, Mr. A and others established companies without installation capabilities and randomly called farming households in towns and townships nationwide since 2020, falsely promoting that stable income could be earned through solar power facilities. They deceived victims by claiming that installation could proceed with only 10% of the total cost as a down payment, embezzling from 1.8 million KRW to as much as 102 million KRW per farm. The total number of victims nationwide is 854, with combined damages estimated at 17.5 billion KRW.

Mr. A and others continued their crimes by changing corporations four times, using proxies known as so-called "barjisajang" (front men). A significant portion of the criminal proceeds was squandered on entertainment expenses, and some were used for corporate operating costs such as wages. The police have recovered 9 billion KRW from them and plan to additionally seize 1.5 billion KRW. Further investigations are underway targeting three solar power facility installation companies suspected of similar fraudulent activities.

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