Promise to rent a car for 30,000 KRW per month with a 10 million KRW deposit
Over 10 victims so far... Total damage amounting to 120 million KRW
[Asia Economy Reporter Yoo Byung-don] The head of a cooperative who deceived small business owners by promising to support rental car fees and embezzled tens of millions of won in deposits has been handed over to the prosecution.
On the 19th, the Guro Police Station in Seoul announced that it had sent Kim, the head of the cooperative accused of fraud and violation of the Act on the Regulation of Conducting Fund-Raising Business without Permission, to the prosecution under detention.
Kim is accused of deceiving subscribers from November 2020 to July last year by promising to support rental fees if they paid a deposit of at least 10 million won to rent a car, collecting the deposits and then disappearing.
So far, there are more than 10 known victims, and the amount of damage reaches 120 million won. The number of victims and the amount of damage are expected to increase.
After receiving complaints from the victims and starting an investigation, the police arrested Kim, who had been missing, on the 9th of last month. It is reported that Kim admitted to the charges during the police investigation.
On the other hand, two sales employees of the cooperative reportedly deny the charges, claiming they were not aware of the exact business details.
A police official said, "We plan to investigate whether the two sales employees, who deny the charges, were involved in the crime."
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