Gang Arrested for Multi-Million Won Fraud Using Jeotgal Business Dividends and Principal Guarantee Bait

Changwon Jungbu Police Station, Gyeongnam.
Photo by Lee Seryeong

A man in his 50s and three accomplices were arrested by the police for defrauding investors by promising guaranteed dividends and principal repayment.

According to the Changwon Jungbu Police Station in Gyeongnam on the 7th, Mr. A and others are accused of deceiving victims from October 2021 to March last year by promising a 10% monthly dividend and full principal repayment after three months if they invested in a salted seafood business, and embezzling 150 million won in investment funds.

Police investigations revealed that they defrauded individuals of amounts ranging from 2 million won to 20 million won, which were used as personal business funds.

Mr. A held investment briefings directly for the victims and even arranged factory tours at a facility located in Dong-eup, Changwon City.

The number of identified victims affected by the gang's fraudulent activities has reached 25.

The police have arrested Mr. A and handed him over to the prosecution, while the three accomplices have been booked without detention and are under investigation.

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