Busan police have apprehended two individuals for defrauding an elderly citizen of 5.5 billion won ($4.1 million) under the guise of cryptocurrency investments, as reported by local media.
According to the case materials, the victim was promised a 70% return on monthly investments of 1 billion won.
From September to December 2022, the fraudsters received six transfers from the pensioner. In return, they showed him fake balances and real estate contracts totaling 20 billion won.
In reality, none of the funds were converted into cryptocurrency; the scheme’s organizers embezzled the money.
The police investigation is ongoing, and information regarding the recovery of funds has not yet been disclosed.
In February, the head of the South Korean bitcoin exchange Bitsonic, Jinwook Shin, received a seven-year prison sentence for involvement in a $7.5 million fraud scheme.