According to a report from South Korean media outlet “news1,” an employee of the Korean Yu Li Bank has been arrested and sent to court for allegedly forging loan documents and embezzling company funds amounting to 18 billion Korean won. Previously, the embezzlement amount was believed to be 10 billion Korean won, but during the investigation, it was confirmed to be 18 billion Korean won.
The employee, during the period from July of last year to May of this year, took advantage of their position to forge loan documents for 17 individual and corporate clients, making a total of 35 fraudulent loan applications. They then embezzled approximately 1.777 billion Korean won (valued at about 12.83 million US dollars) by transferring the loan funds to accounts belonging to acquaintances.
Furthermore, the defendant is also accused of deceiving two individual loan clients between July and September of last year, claiming that they needed to temporarily withdraw the loan amount already deposited in order to complete the remaining loan procedures. As a result, approximately 220 million Korean won was transferred to an acquaintance’s account.
Prosecutors pointed out that the defendant planned this series of criminal activities to raise funds for virtual asset investments. After tracking the accounts, prosecutors and the police discovered that approximately 15 billion Korean won was used to purchase virtual assets, around 2.7 billion Korean won was used to repay the loan debts generated by this criminal behavior through a “borrowing new to repay old” method, and the remaining 300 million Korean won was used for personal purposes such as rent deposits and living expenses.
Prosecutors have seized 180 million Korean won from Mr. A’s residence and have frozen and confiscated approximately 4.5 billion Korean won worth of assets, including deposits in virtual asset exchanges, bank accounts, and rent deposits, through freezing and recovery measures.