The Korean National Police Agency has launched a month-long campaign to protect small business owners from "no-show" scams, in partnership with the Financial Services Commission, the Financial Supervisory Service and Shinhan Financial Group.
The agency announced Tuesday that the campaign runs from Monday through Oct. 16 and targets a growing wave of fraud in which scammers impersonate public institutions or military units to make bulk reservations, then demand advance payments or proxy purchases of goods before disappearing.
The campaign runs in line with the agency's new system for temporarily freezing bank accounts suspected of being used in emerging telecommunications and financial fraud. The system is designed to quickly block accounts linked to no-show scams, investment advisory chat-room fraud and similar schemes, with the goal of strengthening the coordinated response between law enforcement and financial institutions to stop the spread of such crimes.
Working with financial institutions, the agency also plans to roll out public awareness efforts aimed at small business owners, sharing real-life examples of no-show fraud and explaining how to report it.
Oh Chang-bae, head of the agency's integrated response unit for telecommunications and financial fraud, said the police, financial regulators and financial firms would work together to stamp out no-show scams that exploit the good faith of small business owners and erode public trust. "We will build a culture where everyone can transact more safely," he said.
arin@heraldcorp.com
