Two individuals in their 20s and 30s have been apprehended by South Korean authorities for defrauding an elderly man and absconding with a staggering sum of 5.5 billion won ($4.1 million) through multiple transactions. The Haeundae Police Station in Busan took the suspects into custody following their alleged involvement in orchestrating a scam that targeted victims with promises of lucrative returns on cryptocurrency investments.
Reports indicate that the victims were enticed with assurances of significant profits from cryptocurrency investments during the period between September and December 2022. The scammers purportedly lured investors by claiming that investing 1 billion won monthly would yield a guaranteed 70% profit, exploiting the booming cryptocurrency market sentiment.
In a deceptive scheme, the fraudsters fabricated proof of balances, presenting false balance sheets for cryptocurrency investments and purported real estate contracts to their victims. Despite the promise of substantial returns, none of the 5.5 billion won contributed by the victims was directed towards actual cryptocurrency trading accounts, according to South Korean police statements.
While law enforcement managed to apprehend the fraudsters before further harm could be inflicted, details regarding the recovery of the misappropriated funds have yet to be disclosed publicly. Meanwhile, in a separate but notable development in South Korea’s cryptocurrency landscape, Do Kwon, a prominent figure and co-founder of Terraform Labs, has reportedly been released from a Montenegro prison.
Kwon's release follows extradition requests from both the United States and South Korea, as he faces legal charges related to the Terra ecosystem collapse in 2022. The circumstances surrounding Kwon's release from prison involve procedural matters, including an interview with the Foreigners Police Station, as authorities deliberate on potential extradition proceedings. The decision regarding Kwon's extradition will be subject to review by the Supreme Court Council, which will determine the next course of action concerning his case.
