“Ponzi scheme targeting thousands of people” Class action lawsuit filed against UK platform

Recruiting investors using the referral system
Increasing damage through multi-level Ponzi schemes
Daeryun Law Firm forms a related task force
Determine the extent of damage and proceed with filing a complaint.

While the CEO of Uplus KMA (hereinafter referred to as UK Platform) Co., Ltd., which was engaged in an asset management service business, is being investigated for fraud-related charges, Daeryun Law Firm announced on the 29th that it will gather victims and file a class action lawsuit. Daeryun estimates that there are more than a thousand members of the UK platform across the country.

UK Platform, headquartered in Changwon-si, Gyeongsangnam-do, has been recruiting members, saying it provides an all-in-one service that takes care of health, leisure, and retirement at once. It is also known that the company attracted more investors by utilizing a referral system where existing members receive compensation when they attract new members.

The company operated by giving members points that could be used on the platform when they provided investment funds. Specifically, members were encouraged to receive a variety of services by guaranteeing a 5-10% return on investment per month and paying points worth four times the amount invested. Members planned to use these points to receive services such as receiving treatment at affiliated hospitals or taking cruises through travel companies.

In particular, the CEO of the UK platform introduced himself as a doctor and received a large amount of investment from members, but was arrested last month on charges of violating medical law and fraud. As a result, the original promise was not properly carried out, and damage continued to occur, such as the discontinuation of profit payments or service use.

Because of this, members have demanded a return of their investment, but the company is even producing secondary damage by encouraging members to reinvest their points into coins, Daeryun explained.

As damage like this continued, Daeryun Law Firm formed the UK Platform Fraud Damage Criminal Complaint Task Force (TF). Daeryun plans to form a team of lawyers with extensive experience in Ponzi fraud cases and take formal procedures, including filing a fraud complaint against the representative of the UK platform.

In addition, we plan to identify the specific amount of damage, organize damage cases by type, and file a complaint. We also plan to focus on requests for investigation of suspected accomplices. Additionally, if necessary, it was decided to take civil actions such as claims for damages and provisional seizure.

Kim Kuk-il, CEO of Daeryun Law Firm, said, "Recently, so-called Ponzi scams that prevent investors from returning their money have been rampant. Now, they are taking on a multi-level format and the scale of damage is increasing. We are still investigating the specific details, but this UK platform fraud is estimated to have more than thousands of members, so the scale of damage is expected to be extensive. We will prevent further damage through a class action lawsuit and help recover the investment as much as possible."

Digital Content Team

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