By Trend News Line 2024-05-25 08:11:56.
The Impact of Reckless Lending in the Financial Sector
The recent rise in jeonse fraud cases in the Daejeon area has shed light on the role of reckless lending in the financial sector. According to the Daejeon Jeonse Fraud Damage Countermeasures Committee, a staggering 80% of the buildings affected by the fraud had borrowed from Saemaul Geumgo. This highlights the significant contribution of irresponsible loans in exacerbating the spread of jeonse fraud crimes.
Uncovering the Truth Behind the Loans
The countermeasure committee revealed that out of 231 buildings affected by jeonse fraud, 182 households had borrowed approximately 202.4 billion won from Saemaul Geumgo. In particular, 36% of the damaged buildings had borrowed from Hanbat Saemaeul Geumgo. The committee accused Saemaul Geumgo of providing reckless loans that enabled fraudsters to invest without capital, ultimately leading to massive damage from jeonse fraud.
Suspicions of Collusion and Preferential Treatment
Victims of the fraud raised concerns about possible collusion between Saemaul Geumgo and the suspects involved in the fraud. Suspect A, currently on trial for jeonse fraud, allegedly received preferential loan treatment due to his familial relationship with an executive at the institution. Despite internal audits clearing the executive of any wrongdoing, suspicions lingered about potential assistance in committing the crime.
Demand for Accountability and Investigation
The countermeasure committee called for a thorough investigation into the loan practices surrounding the jeonse fraud cases nationwide. They emphasized the need to hold both the financial sector and individuals involved accountable for their actions. Additionally, they urged for legal action against former executives suspected of involvement in the fraud.
Calls for Strengthening Monitoring Systems
The Korea Federation of Saemaul Geumgo faces scrutiny for its governance structure, which has been criticized for loose internal controls leading to inappropriate loans. While the Ministry of Public Administration and Security plans to revise regulatory standards for Saemaul Geumgo, there are calls to strengthen the fundamental monitoring system for the institution.
Advocating for Justice and Accountability
The task force advocating for jeonse fraud victims condemned the court’s handling of the cases, citing a lack of equality and justice in sentencing. They urged for stricter sentencing standards and the confiscation of criminal proceeds to prevent future crimes. Additionally, they called for revisions to the Special Act on Jeonse Fraud to enhance punishment for offenders.
Promoting Legislative Changes and Reform
Park Jung-hyun, a member of the Democratic Party of Korea, pledged to push for the revision of the Special Act on Jeonse Fraud in the National Assembly. The aim is to implement proactive measures to prevent fraud and enhance sentencing standards. With the launch of the 22nd National Assembly, efforts will be made to address additional revisions to the special law and strengthen penalties for offenders..
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