140 Billion Won Fraud in 'Parents' Group'... Prosecutors Seek 35-Year Prison Sentence

Housewife Scammed Victims by Promising Cheap New Apartments

Gained Victims' Trust Through Parents' Group

Prosecutors have requested a heavy sentence for a woman in her 40s, a housewife, who defrauded acquaintances of approximately 14 billion won by falsely promising, through a parents' group, that she could help them purchase apartments at prices below market value.

On June 10, the Criminal Division 14 of the Seoul Southern District Court (Chief Judge Lee Jeonghee) held a final hearing for Ms. A, a woman in her 40s who was indicted and detained on charges of fraud under the Act on the Aggravated Punishment of Specific Economic Crimes. Prosecutors requested a 35-year prison sentence, stating, "This is not a fraud similar to the 'jeonse fraud' schemes, but an individual case of fraud that is exceptionally large and serious in nature."

Seoul Southern District Court, Yangcheon-gu, Seoul. Photo by Jiye Lee

The prosecution argued, "Due to the nature of this Ponzi-like crime, the number of victims inevitably continues to increase," and added, "Although the amounts involved differ from case to case, the sheer number of victims who have appeared in court makes this a particularly grave offense for a single perpetrator." They also emphasized that there has been no restitution or settlement with the victims.

Ms. A was brought to trial on charges of deceiving acquaintances over three years from late 2022 in Seoul and the surrounding Gyeonggi area. She allegedly persuaded people to entrust her with money or transfer loans taken out with apartments as collateral, promising that she could help them buy new apartments at prices below market value or at three to four times the amount they invested, thereby embezzling large sums of money.

Ms. A approached victims by building trust through a parents' group, and investigations have found that the number of known victims reaches dozens. The cases consolidated at the Seoul Southern District Court total 16, and the amount of damage in the indicted cases alone is approximately 14 billion won. In addition, there are four more cases that prosecutors intend to indict. Victims who appeared in court claimed that if ongoing investigations are included, the total damage could reach 60 billion won.

Ms. A's attorney requested during the trial that the newly indicted cases be consolidated and that an additional hearing be held, but the court denied the request. The court stated, "This trial has already been ongoing for nearly one year and four months, and upon reviewing the newly indicted cases, they are essentially separate matters. It is not appropriate to keep postponing the trial with no restitution to the victims, especially since it is unclear how many more indictments may follow."

In her final statement, Ms. A said, "I deeply regret my wrongdoing and will strive to compensate the victims."

The verdict is scheduled to be delivered at 10 a.m. on July 8.

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