South Korean Police Bust Crime Ring Extorting Patrons Through Rigged Casinos

South Korean authorities have arrested 12 members of a sophisticated criminal organization that targeted wealthy individuals by inviting them on overseas golf trips, then scammed them out of approximately $850,000 through rigged casino games and extortion schemes.

Crime Ring Busted by South Korean Police

Identified only as “Mr. A” by the Gyeonggi Southern Police Agency’s International Crime Investigation Unit, the suspect, 60 years of age, is the leader of the group. Gyeonggi police described the crimes committed by Mr. A’s organization as a classic example of a “setup crime,” in which innocent individuals are framed as criminals to extort money.

During the investigation, authorities uncovered links to a casino insider who assisted in carrying out the scam, along with the use of GPS tracking to monitor and manipulate the victims. One suspect, a South Korean national believed to be in charge of coordinating operations abroad, is still at large. His passport has been revoked, and an Interpol Red Notice has been issued to aid in his extradition to South Korea.

Authorities warned that crimes of this nature can be especially effective because victims often fear legal repercussions, which discourages them from coming forward. They emphasized that demanding money under the threat of criminal prosecution constitutes extortion and urged potential victims not to comply, but to report such incidents immediately.

The event follows attempts from the South Korean government to put more pressure on the illegal gambling sector. One such case happened just a couple of weeks ago when South Korean authorities finalized an investigation into six local payment gateway firms, which now stand accused of having aided illegal gambling transactions. 

How the Scheme Worked

According to investigators, the scheme began in November 2022 when Mr. A befriended a wealthy businessman during a golf networking event. Court documents indicate that Mr. A secretly placed a GPS tracker on the businessman’s car.

He later informed the unsuspecting victim that he had won an all-expenses-paid golf trip to Thailand as part of a “hole-in-one celebration.” Once in Thailand, the group played golf with the victim while pressuring him to engage in sexual activity with a sex worker. Later, they claimed the woman was underage and demanded KRW 240 million (approximately $172,000) to resolve the situation, according to police.

Between mid-2023 and mid-2024, the group is believed to have targeted at least five additional wealthy individuals, all of whom were approached at golf driving ranges. As in previous cases, the victims were enticed with offers of exclusive golf trips, this time to Cambodia, where they were encouraged to gamble at casinos running rigged games. According to police, members of the syndicate, working with corrupt casino staff, ensured the victims suffered heavy financial losses.

In one instance, the group staged a fake kidnapping, convincing a victim to pay after being told their associate was being held against their will at the casino. The scheme resulted in a single payment of KRW 680 million (approximately $490,000).

Altogether, the group is accused of extorting nearly KRW 1.19 billion, or around $850,000, from their victims.