Special Caution Urged to Prevent Losses for Small Business Owners
Yangsan City in South Gyeongsang Province has issued a warning to local small business owners, including restaurant operators, and urged them to take precautions after a recent 'No-Show Scam' incident involving an impersonator posing as a city hall employee.
In this scam, the perpetrator targeted local businesses by impersonating an employee of Yangsan City Hall, creating fake business cards and forged official documents, and placing large orders. After placing the order, the scammer would cut off contact, causing financial losses to the businesses that had prepared for the bulk orders.
According to recently reported cases, similar scams have already occurred in other regions as well. There has also been an increase in cases where scammers impersonate public institutions, large corporations, and entertainment agencies.
The scammers build trust by using fake business cards that display the city hall’s official phone number. They then request the transfer of reservation deposits or send payment links from unknown sources, resulting in financial losses for the victims.
Yangsan City is emphasizing precautions to both citizens and business owners. When receiving group reservations, it is essential to directly call the relevant organization to verify the authenticity of the reservation.
Additionally, for large-scale reservations where the introduction of a deposit system is being considered, operators should carefully review the policy before implementation. Payment links from unclear sources should never be clicked.
A city official stated, "This type of no-show scam is not a simple prank but a criminal act that causes serious business damage," and urged, "We ask citizens to exercise special caution and vigilance."
If you have suffered from such a scam or witnessed a similar case, you should immediately report it to 112 or your local police station for assistance, and record text messages or call logs to preserve evidence.
Yangsan City plans to continue raising awareness and strengthening preventive measures to minimize damage caused by such fraudulent activities.
Yangsan City Hall.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
