Seoul Southern District prosecutors created a new criminal investigation unit called JIU for Virtual Asset Crimes through Aju News. The original temporary crypto task force transformed into a permanent body because South Korean authorities observed more cryptocurrency fraud occurred.
Since its organization the JIU has worked to charge 74 suspects and arrest 25 people who participated in illegal cryptocurrency practices like coin extortion and digital asset market Manipulation. The team leader of prosecutions explained at the ceremony that fighting virtual asset crimes requires teamwork to build a robust crime response system.
Seoul Cracks Down Crypto
In December 2023 staff from the management company used manipulation tactics on cryptocurrency prices to steal 7 billion won ($4.8 million) until the police arrested them. The authorities arrested famed shaman Jeon Seong-bae while probing financial flows of scam coin Queen B.
South Korea’s authorities take stronger action against crypto-related criminals because of their recent increase in illegal activities. Authorities revealed that a Chinese person died during a cryptocurrency deal in Jeju, South Korea. People who fled the scene left with money worth 63,500 dollars from the crime victim.
The newly established JIU works to fight these crimes with its team of 35 staff who specialize in crypto forensic investigations. Top-level law enforcement specialists from both the Financial Services Commission and the Financial Supervisory Service join prosecutors in this team. The JIU team will be headed by Chief Prosecutor Park Geon-wook while two other deputy chief prosecutors support him.
The task force that started to stop crypto fraud lifted its temporary status because law enforcement authorities recognized the need for continued full-time prosecution of digital asset crimes. As South Koreans keep buying more crypto they also face more fraud which needs special enforcement to solve.
The South Korean government makes the JIU a permanent unit to better fight illegal activities in the cryptocurrency market. The government takes this step to show its dedication to building better crypto transaction controls in South Korea.
