‘Planned real estate fraud’ is a sophisticated evolution... Busan real estate lawyer says, “We need to approach it differently from simple fraud crimes.”
According to the legal community, special attention is needed as the number of victims of so-called 'planned real estate fraud', which involves purchasing land or forest land that is difficult to develop at a low price, then dividing the land into shares and selling it at a high price, citing favorable surrounding development factors, is increasing. In particular, as the economy of the common people is in crisis these days due to COVID-19, investors are recruited with the lure of high profits, and investment money and land purchase money are intercepted, including cases of retired pensioners and small investors. There are various cases of damage, such as the way some brokerage firms exploit this to approach people with surplus funds and recommend them to buy shares. According to a criminal lawyer from the Daeryun Planning and Real Estate TF Team at the law firm, “The proliferation of planned real estate and speculative share transactions that encourage development expectations and speculation are rampant. The methods are becoming more sophisticated day by day, including field visits with actual real estate agents,” and in particular, “Just trusting the word of the company without any relevant knowledge.” He said, "It is very risky to make an investment, and you must carefully check the possibility of development using the land ledger, registration copy, land use plan confirmation center, land use regulation information service, etc." He continued, "Early this year, the management of the country's largest planned real estate company was sentenced to prison on fraud charges, raising the possibility that similar cases will be found to be fraudulent in the future. However, even if the fraud charge is acknowledged, the victims' losses will not be restored." “If it is recognized that it was a fraud, you can cancel it and claim damages through a civil lawsuit or recover the invested amount by filing a lawsuit to claim the return of the investment, so if you have suffered fraud damage, it is important to reduce the damage to some extent with the help of a professional lawyer.” In addition, there is a possibility of being involved in a crime due to a new type of multi-level planning real estate fraud. “Companies purchase large quantities of vacant land and forest land with no development benefit, then divide the shares into small pieces, distribute the allocation to branches across the country, and sell the shares by brainwashing and training internal employees and counselors,” he said. “Investors who have been persuaded by them and bought the land may end up deceiving each other by introducing the land to other people, so there is a possibility of being involved in a crime without even knowing it.” He also said, “We attracted investment money after sufficient review and expected profits. He added, “If you are suspected of planning real estate fraud, you will need the assistance of a legal expert to prove your innocence, such as justifying your actions with a lawyer.” Daeryun Law Firm, which provided assistance, currently has offices in Seoul, Busan, Daegu, Incheon, Gwangju, Daejeon, Ulsan, Suwon, Changwon, Cheongju, Jeonju, Uijeongbu, Chuncheon, Jinju, and Jeju, and the Planning Real Estate TF team is located in the Planning Real Estate TF team. In relation to fraud cases, we provide legal assistance in cases such as violations of the Special Police Act, false and exaggerated advertisements, forgery of private documents, cancellation of fraudulent acts, claims for division of shared property, sales lawsuits, and lease lawsuits. View text of article -
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