A YouTuber with 620,000 subscribers arrested for coin investment fraud

A YouTuber with 620,000 subscribers has been arrested for allegedly defrauding 15,000 people out of 320 billion won, promising high returns from virtual asset investments.

On Wednesday, the Gyeonggi Southern Provincial Police Agency’s Anti-Corruption and Economic Crime Investigation Unit announced that 215 individuals were apprehended on fraud charges under the Aggravated Punishment Act for Specific Economic Crimes. Twelve key suspects, including the ringleader identified as Mr. A, were formally arrested and indicted. Mr. A, who ran a pseudo-investment consulting firm, is accused of collecting 325.6 billion won from 15,304 investors between December 2021 and March 2022. He allegedly issued and sold 28 virtual assets, using 9 million mobile phone numbers obtained through YouTube ads and lectures to contact potential investors. Promising "20 times the principal amount" and "a chance to change your fate," Mr. A’s group persuaded many to invest.

Of the 28 coins they marketed, six were created by Mr. A’s group, listed on overseas exchanges, and had their prices artificially inflated through internal purchases before selling them to investors. The remaining 22 coins were virtually worthless. Most victims were middle-aged or older, with some suffering losses of up to 1.2 billion won. Mr. A, who had fled to Australia via Hong Kong and Singapore, was eventually captured. Police confiscated 22 bitcoins from him and have initiated pre-indictment asset preservation for a total of 47.8 billion won.


수원=이경진 기자 kj@donga.com