No-Show Fraud Attempts on the Rise in Incheon... Police Launch Intensive Prevention Campaign
The Incheon Metropolitan Police Agency announced on March 4 that, in response to the recent increase in so-called "no-show fraud" crimes, it will conduct intensive prevention and publicity activities for three months until the end of May.
No-show fraud is a new type of crime targeting small business owners. The perpetrators impersonate government offices or public institutions and, under the pretense of government contracts, request proxy purchases of goods from other businesses. They then induce victims to transfer payments to illegal accounts belonging to shell companies.
The police explained that, since no-show fraud specifically targets self-employed individuals and small businesses, major types of damage can be sufficiently prevented if each business recognizes the main forms of fraud and follows preventative guidelines. Accordingly, they have launched a large-scale publicity campaign.
On the morning of March 4, the head of investigations at the Incheon Metropolitan Police Agency and the chiefs of local police stations personally visited major businesses in the area to distribute no-show fraud crime prevention notices and explain the relevant safety measures.
Additionally, the police plan to visit all 1,900 companies in the region that have a history of contracts with public institutions within this month. In areas densely populated with businesses and factories, such as industrial complexes, they will also utilize media boards to conduct prevention campaigns.
Recently in Incheon, there have been repeated attempts at no-show fraud in which the perpetrators impersonated local government officials, company representatives, and political party members. Citing government construction projects, supply contracts, and group reservations as reasons, they requested proxy purchases of various goods and induced cash transfers to illegal accounts of shell companies.
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Han Changhoon, Commissioner of the Incheon Metropolitan Police Agency, stated, "Prevention is the best measure against no-show fraud," and urged, "If you encounter a suspicious case in which someone impersonates a public institution and requests a proxy purchase of goods, please report it to 112 immediately."
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