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South Korean man arrested for swindling HCM City investors
  • | dtinews.vn, nld | August 11, 2020 06:36 PM

A South Korean man has just been arrested in Ho Chi Minh City for swindling over VND81.5 billion (USD3.5 million) from local investors, police said on August 10.



A file photo of Kim Bumjae

According to a police report, Kim Bumjae, 52, and a Vietnamese woman, Nguyen Thi Huong, 27, were arrested for four months on Monday for appropriating property through fraud.


From early 2019 to early 2020, HCM City Police received complaints from 119 people denouncing the Raon Vietnam Company and Khanh Asset Company which are both managed by Kim Bumjae; accusing the companies of defrauding them of VND81.5 billion (USD3.5 million) through currency trading multi-level marketing companies.

Police investigations showed that in 2015, general director of Korean financial firm IDS Holdings, Kim Sung Hun, asked Kim Bumjae to help open a branch of his foreign exchange firm in Vietnam and become its representative.

Uner Kim Sung Hun's instruction, the branch would try to raise investment in Vietnam and transfer them to South Korea for the parent company to invest in its foreign exchange business.

Kim Bumjae set up nine companies and a multi-level marketing system to illegally collect investment and promised to investors that their money would be sent to invest abroad. He also organised classes sharing business experiences in order to gain investors' trust.

However, Kim Bumjae never transferred the money he collected from investors to South Korea as he promised. Instead, the money was found to have been used to cover expenses and pay interest.

Meanwhile, Nguyen Thi Huong was accused of assisting Kim Bumjae in creating two companies and operating them.

The two had collected over VND81.5 billion from 119 people who invested in their companies.

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