The Yeongdeungpo Police in Seoul are investigating a woman in her 70s, identified only as Kim, on charges of fraud, embezzlement, and breach of trust after she allegedly swindled her neighbors out of billions of Korean won through a community savings scheme. This fraudulent scheme, which began in 2018, involved Kim promising her neighbors that she would pay them interest in exchange for their investments in the fund. Kim is accused of making off with the money instead, leading to a series of official complaints from multiple victims.

Currently, more than ten victims have reported their cases to the police, with losses estimated at a minimum of 1 billion KRW and possibly reaching 6 billion KRW. Reports indicate that some aspects of the case have already been processed without Kim being taken into custody, highlighting the serious nature of the accusations and the ongoing investigation. The police have mentioned that they are actively working to determine the exact amounts taken and the full extent of the scheme.

This incident sheds light on the prevalence of financial scams that exploit community trust, particularly in close-knit neighborhoods. It raises concerns about the vulnerabilities individuals may have when participating in such community-oriented financial initiatives, emphasizing the need for increased awareness and protective measures against such fraudulent practices in South Korea.