Private Moneylender Who Threatened Single Mother in Her 30s Released on Bail

Loans at Annual Interest Rates of 2,409% to 5,214%
Court Grants Bail to Private Moneylender on May 30
Seven-Year Prison Sentence Requested, Defendant Now on Trial Without Detention After Release

It was recently confirmed that a private moneylender who lent money to a single mother in her 30s raising her kindergarten-aged daughter alone, and continuously threatened her to repay the debt, leading to her death, was released on bail. According to the legal community on June 11, Judge Kim Hoigeun of the Seoul Northern District Court's 12th Criminal Division granted bail on May 30 to Mr. A, a private moneylender who had been indicted and detained on charges of violating the Lending Business Act, the Act on Registration of Credit Business and Protection of Finance Users, the Electronic Financial Transactions Act, the Telecommunications Business Act, and the Act on Regulation of Concealment of Criminal Proceeds.

It was recently confirmed that a private moneylender who lent money to a single mother in her 30s raising her kindergarten-aged daughter alone, and continuously threatened her to repay the debt, leading to her death, was released on bail. Photo by Hyunmin Kim

Bail is a system that allows the release of a defendant from detention on the condition of paying a certain amount as security. The court held a hearing on March 21, after Mr. A applied for bail on March 17, and reviewed the opinions of both the prosecution and Mr. A's defense counsel. Mr. A was indicted and detained in January 2024 on charges of lending a total of 17.6 million won to six victims, including Ms. B, a single mother in her 30s, between July and November 2024 without registering as a moneylender, and demanding exorbitant interest rates ranging from 2,409% to 5,214% per annum, far exceeding the legal maximum annual interest rate of 20%.

It was found that Mr. A sent numerous threatening text messages not only to the victims themselves but also to their family members and acquaintances if the principal or other amounts were not repaid on time. In particular, during this process, Mr. A indiscriminately distributed personal information such as copies of the victims' resident registration cards, photos of their children, and addresses, and sent messages that caused sexual humiliation, thereby continuously threatening the victims.

Previously, this case first came to public attention as the so-called "Death of a Single Mother in Her 30s" incident, when one of the six victims, Ms. B, unable to withstand Mr. A's illegal debt collection, ended her life in September last year, leaving behind her kindergarten-aged daughter. At the sentencing hearing held on May 14, the prosecution requested a seven-year prison sentence for Mr. A. At that time, the prosecution pointed out, "He sent threatening messages to the debtor, leading her to take her own life," and "He sent photos of weapons to the debtor's acquaintances, threatening to kill them if the debt was not repaid, which shows the grave nature of the crime." The sentencing for Mr. A was originally scheduled for today, but at the prosecution's request to reopen arguments, the fourth hearing will be held on June 27.