Executive Summary
- Prosecutors requested a 10-year prison sentence for a 58-year-old landlord named Kim.
- The defendant is accused of embezzling 1.14 billion won from over 100 university students in Seoul.
- Charges include fraud under the Specific Economic Crimes Aggravated Punishment Act and forgery of lease contracts.
- Sentencing is scheduled for January 27 at the Seoul Northern District Court.
Prosecutors in South Korea have requested a 10-year prison sentence for a landlord accused of defrauding over 100 university students in a massive "jeonse" lease deposit scheme valued at approximately 1.1 billion Korean won. The sentencing recommendation was presented during a final hearing at the Seoul Northern District Court’s Criminal Division 13, presided over by Judge Na Sang-hoon.
According to court filings, the defendant, identified only by his surname Kim, 58, faces charges under the Specific Economic Crimes Aggravated Punishment Act. Prosecutors allege that Kim targeted students near Kyung Hee University and Hankuk University of Foreign Studies in the Dongdaemun-gu district of Seoul. The indictment states that Kim embezzled 1.14 billion won by signing lease contracts at rates higher than the actual sale prices of the properties and subsequently refusing to return the substantial deposits to tenants upon the conclusion of their leases.
During the hearing, prosecutors argued for a heavy sentence, citing the calculated nature of the alleged crimes. “The defendant committed jeonse fraud against over 100 tenants and forged lease contracts to receive loans from financial institutions, demonstrating a severely malicious nature,” the prosecution stated in court records. Authorities arrested Kim in September following an investigation into the discrepancy between the property values and the deposit amounts collected.
In his final statement to the court, Kim acknowledged the impact of his actions on the victims. “I realize many people have suffered more than I expected. I will do everything possible to minimize the damage,” Kim told the court. The sentencing hearing is scheduled for January 27.
Judicial Proceedings & Sentencing Outlook
This case highlights the growing legal scrutiny surrounding “jeonse” fraud, a unique rental system in South Korea where tenants pay a large lump-sum deposit instead of monthly rent. The prosecution’s request for a decade-long sentence reflects a judicial trend toward stricter penalties for economic crimes that destabilize the housing security of vulnerable populations, particularly students. As the court prepares to deliver its verdict, the focus remains on the interpretation of the Specific Economic Crimes Aggravated Punishment Act regarding restitution and intent. It is important to note that all individuals are presumed innocent until proven guilty in a court of law.
