South Korean church funds diverted into failed crypto investments

A man in his 60s who was serving as the financial manager for a Catholic church in Mokpo, South Jeolla Province, South Korea, has been arrested by local police on suspicion of embezzling millions of won in donor funds from around 1,000 parishioners over a period of months. 

According to reports, local police launched an investigation into the man, referred to as Mr.A, after he confessed to a priest. 

He reportedly embezzled approximately 480 million won (about $344,000) in donor funds, which were intended for the construction of a new church building. Mokpo Police Department in South Jeolla Province announced it had requested an arrest warrant for him on September 24, 

South Korean investor nabbed for embezzlement 

Mr. A got away with it for months by pretending to settle the funds collected normally, after which he would move the funds into an account registered under the name of an acquaintance. He allegedly invested the redirected cash into digital assets and lost all of it.

According to the church, Mr. A chose to confess to a parish priest after he was cornered and forced to reveal the embezzlement after being discovered by internal accounting management issues. 

After internal discussions, the cathedral decided to report the crime to the police. During questioning, he reportedly said, “I intended to use the donation as investment capital and then return it.”

The police are now looking into what may have encouraged Mr. A to commit this crime and are expected to decide on whether to arrest him on the 25th. They suspect the embezzler may have been deceived by an “investment reading room fraud” scheme, but nothing definitive has been announced. 

Another crypto fugitive in his 60s was arrested in Seoul

Mr. A’s story is unfolding weeks after an alleged cryptocurrency scammer who had been avoiding authorities for five years was arrested for the meager crime of littering near a train station in Seoul. 

The cops had only intended to arrest the man for disposing of a cigarette butt improperly. However, he spooked them when he started begging profusely to let him go “just this once” before trying to escape.

The man also refused to show his ID, pretended to take a phone call, and even tried to bribe the police in exchange for his freedom. 

Upon questioning, police discovered that he was a fugitive wanted for allegedly defrauding 17.7 billion won ($13 million) from 1,300 people via a cryptocurrency scam.

The man, who like Mr. A is in his 60s, reportedly has a standing arrest warrant for 10 charges linked to the alleged cryptocurrency scam, including fraud.

He is now in the custody of the Seoul Southern District Prosecutors’ Office, which is leading the investigation against him.

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