Nearly 30,000 Victims of Jeonse Fraud.. LH Holds Support Briefing

[Financial News] Korea Land and Housing Corporation (LH) has stepped up to encourage victims of jeonse fraud to apply for support.
LH announced on the 29th that it held a 'Jeonse Fraud Victim Housing Purchase and Support Briefing' for victims in the southern Gyeonggi region at the Southern Gyeonggi Regional Headquarters on the 28th.
With the number of jeonse fraud victims nationwide reaching 29,859 cases (as of May 21), LH is promoting support plans that utilize auction profits to provide compensation and housing support, ensuring timely assistance.
This briefing was conducted for victims who had not applied for pre-purchase with LH despite their properties being in auction. About 650 people attended the briefing on the day of the event.
The briefing introduced △plans for purchasing jeonse fraud victim properties and converting them to public rental △housing support plans for affected households △plans for deposit preservation. Additionally, a one-on-one consultation desk was set up for fraud relief counseling.
Previously, on the 14th of last month, a briefing was held in Michuhol-gu, where jeonse fraud was severe, targeting victims in the Incheon area. About 250 victims attended the briefing.
Following the implementation of the amendment to the 'Special Act on Support for Jeonse Fraud Victims and Housing Stability' in November last year, LH is supporting the recovery of compensation deposits for jeonse fraud victims by utilizing auction profits, along with housing support.


Since the amendment of the special law, there have been 11,733 applications (pre-consultation) for LH support, with 10,043 applications made after the amendment. Particularly, the recovery rate of compensation deposits through auction profits is about 78%, and the effect of support has been continuously expanding since the amendment. LH plans to expedite support by proceeding with applications for suspension of auctions and public sales for each property.
In addition to supplying rental housing through the auction of victim properties, LH is also supporting the supply of public rental housing near the affected properties. So far, a total of 1,662 housing units have been supported, including 1,288 purchased rental units and 345 jeonse rental units. For jeonse rentals, a maximum of 240 million won in jeonse deposits is supported.
Applications for pre-consultation for the purchase of victim properties can be made within three years from the date of being designated as a jeonse fraud victim (or trust fraud victim) according to the special law, through the LH regional headquarters' Jeonse Damage Support Team (Housing Welfare Business Team) in charge of the location of the victim property. Detailed information can be found in the 'Integrated Announcement for the Purchase of Jeonse Fraud Victim Properties' posted on LH Subscription Plus.
An LH official said, "With the amendment of the special law, effective support for housing and deposit recovery has become possible, and we are expanding publicity so that even one more person can be rescued," adding, "We will actively strive to help victims return to their daily lives as soon as possible."

en1302@fnnews.com Jang In-seo Reporter