Illegal Private Loan Fraud Up 68% This Year... Police Launch Special Crackdown

It has been confirmed that the number of illegal private loan fraud cases has increased significantly as of October this year.

According to the police on November 2, there were 4,663 cases of illegal private loan fraud reported from January to October, marking a 68% increase compared to last year. The methods used in these crimes are evolving, with a growing trend toward non-face-to-face and online schemes.

The National Office of Investigation of the National Police Agency will conduct a nationwide special crackdown on illegal private loans until October 31 next year. A dedicated investigation system will be established, focusing on direct investigation departments at city and provincial offices, as well as intelligence teams at police stations, to respond comprehensively to illegal private lending. In addition, special attention will be paid to cracking down on unregistered business operations, usurious loans, illegal debt collection, and criminal tools such as burner phones, bank accounts, and personal information. Furthermore, the authorities plan to thoroughly track down criminal proceeds obtained through illegal private lending and apply for pre-indictment confiscation to eliminate the motivation for these crimes.

Park Sungjoo, Commissioner General of the National Office of Investigation, stated, "Illegal private lending is a crime that negatively impacts not only individuals but also society as a whole. Therefore, we will maintain a constant crackdown system until illegal private lending is completely eradicated."