Korean Father-Son Loan Ring Targeting Migrant Workers Dismantled

Busan police have dismantled an illegal loan syndicate run by a Korean father-son duo that exploited more than 9,000 migrant workers. The group lent 16.2 billion won at annual interest rates reaching 154 percent. Six members have been referred to prosecutors, with three detained. The ring’s mastermind, a 60-year-old based in Thailand, allegedly directed operations remotely while his son handled contracts and collections in Korea. Authorities have requested an Interpol Red Notice for the father, who fled Korea in 2020 to avoid prosecution for similar offences.

Loan Ring

Investigators found that the group earned about 5.5 billion won since 2022 by targeting financially vulnerable workers from Southeast Asia, many unfamiliar with Korean banking. Borrowers typically took loans between 1 million and 5 million won. The syndicate issued threats, fabricated instalment purchase agreements, and filed more than 1,500 court claims to pressure victims. Police have frozen 2.1 billion won in illegal proceeds and alerted tax authorities.

Business News