The Virtual Asset Crime Joint Investigation Team (JIT) of the Seoul Southern District Prosecutors’ Office has marked its first anniversary by announcing its achievements over the past year. The JIT has indicted a total of 41 individuals, detained 18, and seized or preserved assets worth 141 billion KRW. Prosecutor General Lee Won-seok praised the JIT’s accomplishments and announced plans to make the JIT a permanent fixture.
Established on July 26 last year, the JIT is the first permanent investigative body in South Korea dedicated to virtual asset crimes. It comprises approximately 30 experts from seven related agencies, including the Financial Supervisory Service, the Korea Exchange, and the National Tax Service. The JIT aims to protect participants in the virtual asset market and foster a healthy market environment. Notable cases include “Jonber Kim,” “Yonsama Coin,” and the “Cheongdam-dong Stock Wealth” brothers.
The JIT has seized assets totaling 84.6 billion KRW, including 13 supercars and various virtual assets. Additionally, it has preserved 56.4 billion KRW worth of assets for forfeiture. Among the high-profile cases is the “Cheongdam-dong Stock Wealth” brothers, who, while serving sentences for securities crimes, issued multiple scam coins and manipulated prices to embezzle 90 billion KRW.
With the implementation of the Virtual Asset User Protection Act on July 19, the role of the JIT is set to become even more critical. This law introduces regulations against unfair trading practices, mandates monitoring of suspicious transactions by virtual asset exchanges, and allows for criminal penalties or fines for those found guilty of unfair trading. It also stipulates that those who gain unfair profits exceeding 5 billion KRW can face life imprisonment.
Looking forward, the JIT plans to strengthen cooperation with related agencies and build an effective response system to address the increasing sophistication and internationalization of virtual asset crimes. They are committed to fostering a fair and transparent virtual asset ecosystem and ensuring investor protection through rigorous application of the Virtual Asset User Protection Act and thorough investigations of unfair trading practices.
