Jeonse Fraud 'Geonchukwang' Sentenced to Maximum Penalty in First Trial → 7 Years Imprisonment in Appeal Trial

A so-called 'Construction King' who was prosecuted for a jeonse fraud involving approximately 14.8 billion won centered around the Michuhol-gu area in Incheon received the maximum statutory sentence for fraud in the first trial but was given a reduced sentence in the appellate court.

The 1-2 Criminal Appeals Division of the Incheon District Court (Presiding Judge Jeong Woo-young) overturned the original sentence and sentenced Nam Mo (62), who was charged with fraud and other offenses, to 7 years in prison during the appellate sentencing hearing held on the 27th. The original sentence had been 15 years in prison.

The court also overturned the original sentences of 4 to 13 years in prison for nine accomplices, including licensed real estate agents and brokerage assistants, who were charged with the same offenses, and instead acquitted them or gave suspended sentences. The court recognized only 6.8 billion won out of the 14.8 billion won involved in Nam’s charges and acquitted them of violations of the Licensed Real Estate Agents Act.

Nam and others were prosecuted on charges of embezzling 14.8 billion won in jeonse deposits from tenants for 191 apartment and villa units in the Michuhol-gu area of Incheon from March 2021 to July 2022.

Apartment Victimized by Jeonse Fraud in Michuhol-gu, Incheon [Image Source=Yonhap News]

In the first trial, the court stated, "The defendants committed a serious crime by infringing on the basic living condition of housing, and four young people in their 20s and 30s took extreme measures due to the jeonse fraud. Despite this, they consistently took the stance that the state or society should resolve the issue, raising concerns about recidivism," and sentenced Nam to the maximum statutory sentence of 15 years in prison for fraud.

Nam and his group were charged with embezzling 14.8 billion won in jeonse deposits from tenants for 191 apartment and villa units in the Michuhol-gu area of Incheon from March 2021 to July 2022.

The total amount involved in all charges against them is 53.6 billion won (665 units), but the trial that resulted in this sentence only dealt with the previously prosecuted 14.8 billion won jeonse fraud case. The remaining 38.8 billion won jeonse fraud case, which was additionally prosecuted, is being tried separately.

Nam was known as the Construction King, owning 2,700 apartment and officetel units in Incheon and the Gyeonggi-do area. From February to May of last year, four victims who had not received their jeonse deposits back from Nam’s group took extreme measures one after another.

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