Police arrest alleged operators of ₩120 billion illegal gambling network posing as textile business

A group accused of running an illegal gambling network behind legitimate-looking textile companies and online shopping malls has been arrested in South Korea.

Ulsan police said they detained nine people, including a man in his 50s identified as the alleged operator, a general manager and an overseas call-centre team leader. They also referred six others, including programme developers, to prosecutors without detention.

Police allege that the group supplied illegal slot and baccarat programmes to 2,133 adult PC rooms from December through May. Investigators estimate that about 120 billion won in bets passed through the venues and that the group collected 3.26 billion won.

The alleged operator and associates had operated a textile company and online shopping malls in Seoul for more than a decade, according to the investigation. They also ran a call centre in Vietnam handling customer responses, deposits and withdrawals. Police said some textile-company employees were recruited after being told they could earn more money.

An Ulsan distributor allegedly used an interior-design office in a residential area as a front for illegal gambling operations. Police began tracing the software suppliers after raiding an adult PC room in April over illegal money-changing activity. Investigators said the group had commissioned former game-company developers to create software and websites for a relaunch.

Police said they had apprehended three overseas members through measures including passport invalidation and were using international cooperation to track another member believed to be hiding in the Philippines. Ulsan police are also working with the city, five district and county governments, and the Game Rating and Administration Committee on joint enforcement against illegal adult PC rooms.

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We apprehended three overseas members through measures including passport invalidation, and we are tracking another member hiding in the Philippines through international cooperation.