Two Landlords Detained and Referred to Prosecution for Embezzling 5.7 Billion Won in Jeonse Deposits

Two landlords who committed jeonse fraud amounting to 5.7 billion won in the Gwanak District of Seoul have been handed over to the prosecution while in custody.

Yonhap News

On May 2, the Seoul Gwanak Police Station announced that they had referred landlord A (age 55), a rental business operator who collected 5.1 billion won in jeonse deposits from 38 tenants, and landlord B (age 46), who collected approximately 600 million won in jeonse deposits from four tenants, to the prosecution on charges of fraud. Both individuals have been detained.

Landlord A is accused of deceiving victims by falsely claiming to be able to return the jeonse deposits at any time, despite lacking the actual ability to do so. Investigations revealed that, starting in 2018, A purchased six buildings over three years by taking on the mortgage debts secured on these properties and the tenants' jeonse deposits, while investing almost none of his own capital.

Landlord B is accused of deceiving tenants by falsely notifying them of the existence of a senior jeonse deposit, after purchasing a building without any capital and taking on mortgage debts equivalent to the value of the building. The police also referred accomplice C (age 46) to the prosecution without detention in mid-April.

Since November of last year, the Gwanak Police Station has operated a task force to strengthen its response to jeonse fraud, referring a total of 81 suspects to the prosecution over the past four months. Choi Ingyu, chief of the Gwanak Police Station, stated, "We will do our utmost to severely punish jeonse fraud crimes that victimize ordinary citizens and young people just starting out, and to safeguard the housing stability of our citizens."

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