Police Arrest Over 1,300 People in 40 Days of Special Crackdown on Real Estate Market Disruption

Nearly 1,000 Cases of Subscription Savings Account Trading Disrupting Market Order
Assemblyman Park Wansu: "Proactive Response Needed Against Illegal and Evasive Acts"

Park Wansu, member of the People Power Party.

[Asia Economy Reporter Lee Gwan-joo] Since early last month, the police have launched a special crackdown on real estate market disruption activities and have arrested about 1,300 suspects related to the sale of subscription savings accounts and other offenses to date.

According to data submitted by the National Police Agency to Park Wan-soo, a member of the National Assembly's Public Administration and Security Committee from the People Power Party, the police arrested 1,383 suspects involved in real estate market disruption from November 7 to this month’s 22nd and referred 337 of them to the prosecution with a recommendation for indictment. Among them, three were detained. Investigations are ongoing for 1,046 suspects.

By type, the most common offenses were market disruption activities such as the sale of subscription savings accounts, resale of pre-sale rights, and investment fraud in anticipated real estate development areas, totaling 997 suspects. This was followed by 149 suspects involved in corruption related to reconstruction and redevelopment, 110 suspects in illegal brokerage activities such as price collusion, 66 suspects in jeonse deposit fraud, and 61 suspects in public housing rental corruption.

Under the direction of Police Commissioner Kim Chang-ryong, the police have been conducting a "Special Crackdown on Real Estate Market Disruption" for 100 days from November 7 to February 14. The main targets of the crackdown include ▲illegal resale of pre-sale rights through mobile brokerage offices ▲organized sale of subscription savings accounts ▲planned real estate fraud using development-related information ▲unregistered real estate brokerage online ▲and other illegal activities that promote speculation.

To this end, the police have organized 11 special investigation teams with 54 personnel across eight local police agencies that have jurisdiction over speculative overheating zones and regulated areas, conducting investigations according to regional real estate issues. Additionally, 255 police stations nationwide are strengthening intelligence gathering on illegal real estate activities within their jurisdictions and conducting crackdowns on chronic illegal acts.

Assemblyman Park said, "Illegal and irregular activities related to real estate transactions not only disrupt normal transaction culture but can also distort real estate prices," adding, "The police must respond more proactively so that innocent citizens do not suffer from increasingly sophisticated related crimes."