Prosecutors Deposit 3.2 Billion Won in Court for Jo Hee-pal Case

[Asia Economy Yeongnam Reporting Headquarters, Reporter Ju Cheol-in] Daegu District Prosecutors' Office announced on the 16th that it has completed the procedure of returning approximately 3.2 billion KRW of criminal proceeds confiscated and held in connection with the multi-trillion won Ponzi scheme case involving Jo Hee-pal.

The 3.2 billion KRW in cash returned to the victims is the profit gained through embezzlement and breach of trust by 13 financial multi-level marketing corporations and creditors related to the Jo Hee-pal fraud case.

From March to May, Daegu District Prosecutors' Office initiated the refund procedure for the amount confiscated in the Jo Hee-pal financial multi-level marketing case, announced it in the official gazette, and received seizure and provisional seizure orders for refund claims exceeding 3.2 billion KRW from individual investors. On this day, the full amount was deposited with the Daegu District Court.

The amount deposited by the prosecution will be distributed by the court according to the amount of the victims' claims.

A Daegu District Prosecutors' Office official stated, “We made efforts to promptly return the confiscated criminal proceeds in accordance with the Act on the Forfeiture of Corrupt Property to ensure fair and accurate damage recovery for the actual victims.”

Previously, the prosecution indicted a total of 77 people, including Kang Tae-yong, known as the 'second-in-command' of Jo Hee-pal's organization, in connection with the Jo Hee-pal Ponzi scheme case from 2014 to 2016. Kang Tae-yong's 22-year prison sentence was confirmed by the Supreme Court in 2017.