480 More Jeonse Fraud Victim Cases Recognized; Cumulative Total Reaches 42,039

[Financial News] A further 480 cases were approved for recognition as victims of jeonse fraud, etc., bringing the cumulative total to 42,039. Of those recognized to date, 97.7% had rental deposits of 300 million won or less, and 60.7% were concentrated in the capital region.
According to the Ministry of Land, Infrastructure and Transport on the 12th, the Jeonse Fraud Victim Support Committee held three plenary meetings—on the 14th and 21st of last month and the 6th of this month—reviewing 1,331 cases and approving 480. Of these, 436 were new applications or reapplications, while 44 were cases in which applicants challenged an earlier decision and were found to meet the criteria in a further review.
A total of 520 cases were rejected for failing to meet the criteria. Another 152 were excluded because the full deposit could be recovered through guarantee insurance, priority repayment and other means. Appeals in 179 cases were rejected after further review found that they still did not meet the criteria.
Among the 42,039 cases recognized to date, the largest group—18,291 cases (43.51%)—involved deposits of more than 100 million won and up to 200 million won. There were 17,674 cases (42.04%) involving deposits of 100 million won or less, and 5,094 cases (12.12%) involving more than 200 million won and up to 300 million won.
By region, Seoul accounted for 12,174 cases, Gyeonggi Province for 9,456 and Incheon for 3,894, putting the capital region’s share at 60.7% of the total. Outside the capital region, Daejeon, with 4,611 cases, and Busan, with 4,287, had high figures.
Multi-family homes accounted for the largest share by housing type, with 11,882 cases (28.3%). They were followed by officetels, with 8,814 (21.0%); multi-household homes, with 7,957 (18.9%); and apartments, with 5,574 (13.2%).
Housing, financial and legal-procedure support provided to victims and others totals 84,534 cases to date. The cumulative number of decisions requesting cooperation on emergency deferrals of court and public auctions stood at 1,270.
As of the end of last month, the Korea Land and Housing Corporation (LH) had purchased 11,542 fraud-affected homes. From January through October this year, it bought 6,551 homes, an average of 655 per month.
The Ministry of Land, Infrastructure and Transport and LH plan to speed up acquisitions by holding purchase review meetings, operating a fast-track process and consulting with district courts on resuming auctions and other matters. The fast-track process consolidates preliminary purchase consultations and requests to buy homes, while setting deadlines for handling each stage.
Applications for victim status determinations may be filed with the city or provincial government that has jurisdiction over the applicant’s residence. Tenants whose applications are denied or who are designated under the Special Act as belonging to a category of victims, etc., may appeal. Even if an appeal is rejected, they may reapply later if the relevant circumstances change.
The Ministry of Land, Infrastructure and Transport and the Korea Housing & Urban Guarantee Corporation (HUG) also operate “Safe Contract Consulting,” a service to check risks before a contract is signed. Prospective tenants can visit or call Jeonse Damage and Prevention Support Centers across the country for consultations on analyzing a home’s rights and legal claims, reviewing contract wording and precautions to take when signing a contract.
The service currently operates at eight locations, including Seoul, Busan, Daegu, Incheon, Gwangju, Daejeon, Gyeonggi Province and South Jeolla Province, and is also being rolled out in North Gyeongsang Province. Details are available on HUG’s Safe Jeonse Portal.


[email protected] Choi Ga-young Reporter