Posing as 'Real Estate Experts' on Economic Channels... Gang Arrested for Making 2.2 Billion Won in Exorbitant Profits

A group of individuals who appeared on economic broadcasting channels pretending to be real estate experts and then deceived people seeking consultations by presenting development-restricted land as if it had favorable prospects, making exorbitant profits in the process, have been apprehended by the police.

A gang involved in speculative real estate fraud deceiving investors by falsely presenting development-restricted land as a promising opportunity. Seoul Metropolitan Police Agency

The Financial Crime Investigation Unit of the Seoul Metropolitan Police Agency announced on October 31 that it had arrested a total of 33 people, including Mr. A (45), the head of a speculative real estate firm, on charges including fraud. The police plan to refer them to the prosecution without detention in the near future.

According to the police, from April 2021 to August 2023, these individuals deceived 42 victims out of approximately 2.2 billion won by falsely presenting land in the Sejong area, where development is not possible, as if it were scheduled for development.

Mr. A, through broadcast sponsorship contracts, arranged for employees such as Mr. B (40) to appear as real estate experts on six economic broadcasting channels. They then approached viewers seeking consultations and misrepresented land that could not be developed as if it had favorable prospects. Investigations revealed that they made profits up to 53 times higher than the market price of the land.

Additionally, the police have booked three individuals, including Mr. C (41), the head of an outsourced production company, on charges of violating the Personal Information Protection Act. They are accused of handing over 1,379 pieces of viewer personal information, collected during broadcast consultations, to the speculative real estate firm.

The police plan to continue crackdowns on speculative real estate firms that generate numerous victims and make exorbitant profits through false real estate development information. They also emphasized the importance of verifying lot numbers and visiting sites, checking land use certificates, confirming real estate registry documents, and exercising caution when purchasing shared land ownership during real estate transactions.

A police official stated, "This is a new type of speculative real estate fraud that exploits the credibility of broadcast media," adding, "We will continue to crack down on illegal real estate activities, including speculative real estate fraud that produces numerous victims through false development information."

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