Tenant "Signed a lease contract worth 100 million won... then disappeared"
Police investigating assets and rental business status of Mr. and Mrs. Jeong
The scale of damages from the jeonse fraud case that occurred in Suwon City, Gyeonggi Province, and other areas in the Seoul metropolitan area reached 12 billion KRW. The number of complaints filed has steadily increased, approaching 100 cases.
The Anti-Corruption and Economic Crime Investigation Unit of the Southern Gyeonggi Provincial Police Agency announced that as of 12:00 noon on the 12th, a total of 92 complaints had been received requesting punishment for the accused, Mr. Jeong and his wife, as well as their son, on charges of fraud.
Campaign to Urge the Preparation of Special Measures for the Amendment of the Jeonse Fraud Special Act [Photo by Yonhap News]
These complaints stated that the landlord couple, who recently owned several villas and officetels in the Suwon area, disappeared, leaving the deposit unpaid. The victims explicitly requested punishment for the landlord couple, Mr. Jeong, who disappeared, and their son who was involved in the real estate contract process, on charges of fraud.
Previously, complaints against the Jeong couple were first filed with the police on the 5th of last month. Rumors that "Jeong disappeared" spread among the affected tenants, causing a sharp increase in complaints starting from the Hangul Day holiday. The complainants claimed that they had signed lease contracts worth around 100 million KRW with the Jeong family but were unable to recover their deposits due to their disappearance.
The Jeong couple, suspected of jeonse fraud, are understood to own several real estate rental-related corporations in the Seoul metropolitan area. There are about 50 buildings owned by these corporations in Suwon alone, and the Jeong couple may own more buildings in other regions, which could increase the scale of damages. The real estate rental-related corporations are known to be located in seven places in Suwon, six in Hwaseong, four in Yongin, and one in Yangpyeong, totaling 18 locations.
Recently, the police imposed a travel ban on the landlord couple, the accused in this case.
Complaints have also been filed against real estate office personnel who mediated the jeonse contracts between the complainants and the Jeong family. Some tenants reportedly signed contracts based on incorrect information provided by licensed real estate agents.
Accordingly, the police have received complaints and initiated criminal investigations against a total of five people, including the three members of the Jeong family, licensed real estate agents, and assistant staff.
It was confirmed that the Jeong couple's financial situation had already deteriorated significantly, as land and buildings worth about 1.5 billion KRW in Yangpyeong County were subject to provisional seizure in August due to unpaid debts. Nevertheless, they reportedly signed lease contracts with tenants around August.
The police are thoroughly investigating the assets such as real estate owned by the Jeong couple and the status of their rental business operations, as well as whether they committed the crime with the intent to deceive the tenants.
Gyeonggi Province will hold on-site briefings and provide victim consultations on the 13th and 14th at the former Gyeonggi Provincial Government building located in Paldal-gu, Suwon City. In addition, the Gyeonggi Province Fair Special Judicial Police Unit plans to deploy four personnel, including the head of the real estate investigation team, to receive damage reports submitted to the Gyeonggi Province Jeonse Damage Support Center and conduct their own investigation.
Suwon City will also open a 'Jeonse Damage Consultation (Reception) Center' to support victims. The city plans to open the consultation center, staffed with professionals such as lawyers, judicial scriveners, and licensed real estate agents, on the first floor of the main building of City Hall in the Integrated Civil Service Office, and expects to start operations as early as next week.
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