Over 700 Billion Won 'Suwon Jeonse Fraud'... Police Investigate Over 60 People Including Licensed Realtors

Police Receive 492 Complaints... Total Damage Amounting to 73.9 Billion Won

It has been confirmed that 62 people, including licensed real estate agents, are being investigated by the police in connection with the 'Suwon Jeonse Fraud' case involving approximately 70 billion won. The landlord in this case, Mr. Jeong and his wife, along with their son, three people in total, have been arrested and indicted on charges of fraud.

The Anti-Corruption and Economic Crime Investigation Unit of the Gyeonggi Southern Provincial Police Agency announced on the 13th that they are investigating 62 individuals, including a broker A from a licensed real estate agency office in Suwon City, on charges of fraud and others. According to the police, a total of 492 complaints have been filed so far regarding this Jeonse fraud. The amount of damages stated in these complaints reaches 73.9 billion won.

Tenants Trying to Evict Suspected Family in 'Suwon Jeonse Fraud' Case
[Photo by Yonhap News]

The complainants claimed that they had signed lease contracts worth about 100 million won each with the landlord Jeong’s family but did not receive their deposit refunds.

The police received the first complaint on September 5 last year and, after about three months, on December 8 last year, applied charges of fraud and others to Mr. Jeong and his wife and their son, and sent the case to the prosecution. In addition, the police are investigating 62 people including licensed real estate agents and brokerage assistants who mediated the lease contracts.

The prosecution received the case from the police and sent the Jeong family to trial in custody at the end of December last year. From 2021 to September last year, the family and the rental company used corporate names to rent about 800 households in the Suwon area and defrauded 21.4 billion won in Jeonse deposits from 214 tenants.

As rental deposit fraud cases surge nationwide, local governments and the central government are operating victim consultation centers.
[Photo by Yonhap News]

During this process, it was investigated that Mr. Jeong’s loans exceeded 70 billion won and that he continued lease contracts using a Ponzi scheme method.

The number of complaints against the Jeong family significantly increased at the end of last year. However, there has been little change around the time the case was sent to the prosecution. The police believe that most of the complaints from tenants who suffered or feared damage due to non-refund of deposits have been concluded.

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