South Korean police dismantle mule account ring that allegedly laundered funds for illegal gambling

A criminal organisation allegedly resold 101 personal bank accounts.

South Korea.- Authorities claim to have dismantled a mule account network accused of laundering money for illegal gambling and prostitution sites following a months-long investigation led by the Gyeonggi Nambu Provincial Police Agency. Police have made 59 arrests and detained seven, including the alleged ringleader.

Police say the group had been operating since June 2023, recruiting account holders through part-time job platforms and offering KRW1m (US$720) per month as “account rent.” The organisation is alleged to have acquired and resold 101 personal bank accounts for up to KRW 3m (US$2,100) per account.

The group is said to have collected extensive personal information, including ID documents, family certificates, and delivery records. An account holder who withdrew KRW 220m (US$148,000) was allegedly tracked down and assaulted with iron pipes, shaved and filmed, with the video shared on Telegram.

Investigators say the network recruited an insider from the call centre of first-tier bank. He allegedly accessed internal systems to verify wire transfer accounts for the syndicate, receiving KRW300,000 (US$204) per case, and provided information on at least six occasions between May and September this year.

Police have charged 58 people under the Criminal Organisation Act, with some facing additional counts of joint coercion and special robbery. The bank worker faces charges under the Financial Real Name Transaction Act, and further legal action is being considered.

See also:

See also: South Korean police target US$3.7bn illegal gambling network

A criminal organisation allegedly resold 101 personal bank accounts. South Korea.- Authorities claim to have dismantled a mule account network accused of laundering money for illegal gambling and prostitution sites…