Organization behind 'no-show scam' defrauding over 360 million won busted

South Korean police have apprehended eight individuals and placed seven others under investigation for their alleged involvement in a widespread "no-show" scam, which defrauded 15 victims of approximately 362 million won (about $260,000 USD).

The scam targeted businesses by impersonating official entities. For instance, a gas station owner in Paju was contacted by someone claiming to be from the fire safety department, who insisted on the prior purchase of fire extinguishers and related equipment from a designated supplier to avoid business suspension during an inspection. The owner paid 9.02 million won but never received the goods. Similarly, a retail interior business operator in Seoul was told to purchase specific glass from a designated supplier for a department store renovation project. After remitting 6.5 million won, the operator received no glass, and the department store confirmed no such renovation was planned.

The alleged ringleader, identified as Mr. R, 34, is accused of orchestrating these scams between March and May across Seoul, Gyeonggi, and Gangwon provinces. He reportedly managed the organization via Telegram, using cash couriers throughout the country. The scheme involved a chain of contacts, including couriers, liaisons, and managers, to launder the illicit funds into shell bank accounts.

Authorities are urging the public to exercise extreme caution. "If you are asked for advance payment or proxy purchases by entities claiming to be public institutions or suppliers, it is 100% a scam," stated a Jinju Police Station official. They advise against sending any money until the authenticity of such requests can be thoroughly verified through direct contact with the purported organizations.

“

If you are asked for advance payment or proxy purchases from entities claiming to be public institutions or suppliers, it is 100% a scam.