Six people have been charged after using sham residencies to rig an apartment lottery in Daegu, South Korea. Authorities uncovered the scheme during a probe into a housing project in Nam-gu launched in October 2024.
Details of the Fraud
The suspects, including a woman in her 30s, posed as primary applicants to claim spots in the subsidized development. Despite winning as main residents through high scores, they had no intention of occupying the units. One individual benefited from a special corporate allocation with elevated priority points.
Investigators analyzed communication records and financial transactions of the purported residents, revealing the fake registrations. The group mobilized family members, including elderly parents, to fabricate eligibility without genuine relocation plans.
Police Action and Findings
The Daegu police anti-corruption and economic crimes unit received tips from the Ministry of Land, Infrastructure and Transport. Their examination exposed coordinated efforts to bypass housing laws designed for legitimate applicants.
“We uncovered the tactics of experienced real estate manipulators seeking to dominate subsidized housing allocations,” an investigator stated.
Prosecutors received the case without detaining the suspects, highlighting ongoing efforts to curb fraudulent practices in South Korea’s competitive housing market.
