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2,000 homes in Incheon to be auctioned due to ‘Jeonse fraud’

2,000 homes in Incheon to be auctioned due to ‘Jeonse fraud’

Posted April. 19, 2023 08:02,   

Updated April. 19, 2023 08:02


Young people driven to the edge of a cliff after becoming a victim of the Jeonse scam are being killed one after another. This is already the third incident this year alone. A woman in her 30s, a victim of the so-called "Michuhol-gu Architecture King" who owns 2,700 homes in the metropolitan area, was found dead in the early morning of Monday. It has been only three days since a victim of the same incident, a man in his 20s, made a similarly drastic decision. It is heartbreaking to learn about the tragedy of these young people who lost their lives after losing entire fortune.

The pain suffered by victims of the Jeonse scam is immeasurable. They were in danger of being forcibly evicted to the street when the house they lived in was put up for auction. Upon completion of the auction, there are many victims who will not receive a penny of their deposit back because they do not fall under the first beneficiaries to receive reimbursement of the partial Jeonse deposit. Those who ended their lives tried to hold on to the end despite hardship, but life showed no mercy. The words “Mom, please send me just 20,000 won” left by the man who died on Friday in the last phone call with his mother are nothing less than grief-stricken. At the time of his death, there was only 2,000 won in cash in his wallet. In front of the entrance of the apartment of the woman who died on Monday, there was a water bill reminder and a medicine pouch in the trash bag.

It is difficult to attribute the Jeonse scam, which is driving victims to their deaths, solely to the fault of individual negligence. It should be seen as a social disaster. This is because no matter how carefully you check before signing a rental contract, it is difficult not to fall into a trap if the building owner, construction sales company, and realtor are determined to deceive you. The government that neglected supervision even when illegal activities were rampant, financial institutions that over-issued guarantees and loans without vetting, and the National Assembly that neglected the tenant protection bill are all not free from responsibility, either. Victims who held a press conference on the 18th said in tears, “If this continues to go unchecked, another death will occur; Unless the system changes, everyone is a potential victim.”

Although the government has introduced 21 Jeonse fraud prevention measures on four occasions since last September, they have not actually helped victims. This is because the focus was on preventing damage, such as the release of the safe Jeonse rental app and the disclosure of personal information of malicious renters. Emergency residential support housing, which is desperately needed by victims right at the moment, has been rendered ineffective due to strict application requirements. Loan products to reduce the interest burden have not even been set for release. Even if the victims contacted the Jeonse victim support center, it has been difficult to even receive proper counseling.

It is said that there are more than 2,000 homes scheduled for auction due to the Jeonse scam in Michuhol-gu, Incheon alone. Therefore, it is necessary to come up with practical measures before the damage becomes more serious. On Tuesday, the government announced that it would stop or suspend the auction of houses related to Jeonse fraud for a certain period of time, and this must be implemented with urgency. In addition, if the victims wish, the government should consider measures such as granting the right to preferential purchase of the house where they used to live and extending the residence period under emergency housing measures. The situation in which young people give up their lives in despair should not be repeated anymore.