100 Billion Won Jeonse Fraud in Sinchon, Guro, and Byeongjeom
Committee Formed to Demand Government Measures
Calls for Improvement of Blind Spots Such as Multi-Family Housing
Victims who suffered a large-scale jeonse fraud worth over 10 billion won from a single landlord in Seoul's Sinchon and Guro areas, as well as Hwaseong Byeongjeom in Gyeonggi Province, have formed a countermeasure committee and demanded the government take action.
On the 23rd, Yonhap News reported that the "Sinchon, Guro, Byeongjeom 10 Billion Won Jeonse Fraud Victims Countermeasure Committee" held a press conference in front of Sinchon U-Plex that morning. Most of the victims are known to be people born in the 1990s, just starting their social lives as young adults. The press conference was conducted with the victims of the jeonse fraud explaining their individual situations.
The committee stated, "A total of 94 tenants were defrauded by landlord Mr. Choi," adding, "The total damage they suffered amounts to over 10 billion won." They further explained, "In search of cheaper housing, they chose to live in multi-family houses or office-tels used for business purposes, which are illegal buildings and pointed out as blind spots in the special jeonse fraud law."
Victim A appealed, "Despite the current special jeonse fraud law stipulating that 'the auction suspension period shall be within one year from the day following the suspension or deferment,' I was notified of the auction resumption just three months after the suspension." Another victim, B, shared, "When I checked the building registration, it was seized due to tax arrears, and the landlord lied, saying he would resolve it. My wedding plans, preparing for this year, my newlywed home, and my future have all become uncertain." He continued, "I visited several institutions such as the Jeonse Fraud Victim Support Center and the Legal Aid Corporation, but they only recited formal guidance documents and told me to wait because 'no damage has occurred yet.' The government's support measures for victims are ineffective," he criticized.
Victim C said, "One victim visited all the banks in Sinchon after hearing reports that refinancing or processing loans were possible, but was rejected because there were too many victims," adding, "Tenants of multi-family houses and illegal buildings, who fall into the blind spots of the special law, cannot even exercise the right of first refusal."
On this day, the countermeasure committee announced demands including ▲improving laws where punishments are weak compared to the gains from fraud ▲auction suspension of victimized houses ▲support for victims without loans ▲improvements to the blind spots affecting tenants of multi-family houses and illegal buildings. The civic group Mindalpaengi Union, which joined the press conference, appealed, "The special jeonse fraud law must be amended to address the blind spots of multi-family houses and illegal buildings and issues related to auction suspension," and urged, "The state must break the prejudice that jeonse fraud is an individual's responsibility."
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