A person in his 50s was sent on charges of ‘high-profit coin investment bait’ fraud… Prosecution: “Not indictment”

Plaintiff: “I invested after being promised guaranteed principal”
Prosecutors “In addition to receiving profits for a considerable period of time…
“The accusers are acquaintances, not an unspecified number of people.”

A man in his 50s who was accused of recruiting coin investors using high profits as bait and stealing 100 million won was acquitted by the prosecution.

On the 26th of last month, the Tongyeong Branch of the Changwon District Prosecutors' Office decided not to indict Mr.

Mr. A was previously accused of opening an anonymous chat room with an acquaintance last year and then inviting Mr. B and others to invest in stocks, promising to guarantee principal and generate high returns. The investment they received was confirmed to be over 100 million won.

The victims filed a criminal complaint, claiming that only a portion of the profits were paid at the beginning of the investment, and that neither the profits nor the principal was returned thereafter. He also emphasized that Mr. A and others committed the crime by using the so-called ‘turnaround’ method of using their investment funds as profits from other investors.

However, Mr. A denied the charges. He also said that he only lent the account based on the words of an acquaintance, and like other victims, he had not heard anything about specific investment details or profit structure.

The prosecution ruled that there were no charges. The prosecution explained the reason for non-indictment by saying, “Coins are products with very high price fluctuations, and considerable discretion is granted to operators when purchasing and selling items, unless specifically specified,” and “It is difficult to admit fraud charges considering various circumstances, such as the fact that the complainants also appear to have had no knowledge of specific investment items, the fact that Mr. A immediately transferred most of the money received from them to an acquaintance, and the fact that the complainants received the profits for a considerable period of time.”

Attorney Lee Il-kwon of Daeryun Law Firm, Mr. A's legal representative, said, "Mr. A can also be seen as a victim in this case. He believed the words of a close acquaintance and provided investment funds, and he only accepted all of the acquaintance's demands in the hope of receiving the proceeds."

At the same time, "In order for a similar receiving act to be established, there must be an act of raising funds in the name of investments, etc. from an unspecified number of people, and the plaintiffs were acquaintances such as seniors and juniors at school. The chat room was also structured so that people who were not invited could not access it." He also said, "When considering repetition, continuity, business feasibility, etc., there was no series of activities such as business registration, advertising, or investment briefing sessions to raise funds. Overall, no evidence was found to acknowledge illegal activities. “The case ended in acquittal,” he said.

Digital Content Team

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A person in his 50s was sent on charges of ‘high-profit coin investment bait’ fraud… Prosecutors “not indicted” (Shortcut)