Gang Arrested for Selling 4,000 SIM Cards to Voice Phishers Using Loan Scams

Police have apprehended nine individuals for their involvement in a sophisticated scam that exploited vulnerable people seeking quick loans. The operation, which ran from October 2024 to April 2025, centered on tricking individuals into opening prepaid SIM cards under the guise of providing small loans. These SIM cards, known as "대포 유심" (daepo yusim) or "cannon SIMs," were then sold to voice phishing organizations.

The suspects lured their victims through spam messages, offering small loans in exchange for opening the SIM cards. The terms were predatory: a 100,000 won loan was repaid with 150,000 won after one month, translating to an astonishing annual interest rate of approximately 608%. Over 1,000 victims were affected, and 4,185 SIM cards were opened and subsequently sold.

The SIM cards facilitated voice phishing operations, including misleading investment schemes. To evade law enforcement, the perpetrators used untraceable burner phones, Telegram, and remote access to computers. They laundered the proceeds from selling the SIM cards, receiving payments in Tether stablecoins or cash.

Authorities seized the suspects' assets, valued at around 800 million won, and are pursuing the remaining three individuals who were not taken into custody. Police emphasized that "cannon SIMs" are a critical tool for criminals to evade detection and warned the public against opening phone or SIM cards for loan providers, as it can lead to criminal involvement.