A South Korean appeals court has reduced prison sentences for six gang members who carried out an armed raid on an illegal stock investment fraud operation, stealing millions of won worth of Tether while assaulting members of the scam ring before both criminal groups ultimately faced prosecution.
According to court records reported by South Korean media, the Suwon High Court partially overturned an earlier ruling and reduced the sentences imposed on six defendants convicted of robbery resulting in injury, trespassing and related offences. The gang had stormed a stock manipulation call centre in Siheung, Gyeonggi Province, in March 2025, making off with approximately ₩69 million worth of Tether after attacking employees with weapons.
The decision offers a rare glimpse into the growing overlap between traditional organised crime, investment fraud and cryptocurrency. While the victims initially appeared to be operators of an investment business, investigators later determined that the office itself was part of an illegal stock fraud organisation that allegedly defrauded investors of more than ₩1.2 billion.
Gang Specifically Targeted Another Criminal Organisation
According to the judgment, the gang deliberately selected the stock fraud operation because its members believed criminals earning money illegally would be reluctant to report a robbery to police.
The group recruited an insider connected to the fraudulent investment operation, allowing them to identify the exact location of the call centre, understand employees’ daily routines and plan the attack in advance.
Court documents showed the robbery was carefully organised. The day before the attack, members collectively purchased weapons and gloves. On the day of the robbery, they divided responsibilities between teams assigned to storm the office used by the group’s leaders and teams responsible for monitoring employees and controlling the premises.
After entering the office, the gang assaulted employees, threatened those inside and stole approximately ₩69 million worth of Tether before fleeing.
The case illustrates how stablecoins have increasingly become part of criminal activity beyond online fraud itself. While cryptocurrencies have long featured in ransomware and money laundering investigations, stablecoins such as USDT are also increasingly used to store or transfer proceeds from investment scams because they can move quickly across borders while avoiding the volatility associated with other digital assets.
Violence Left Victim With Broken Teeth
The appeals court stressed that the robbery remained an extremely serious violent offence despite the criminal nature of the victims’ activities.
One victim suffered three broken teeth during the attack and required approximately three weeks to recover, according to the judgment.
The court also noted that one defendant attempted to interfere with the investigation after his arrest. While in custody, he allegedly encountered one of the victims in prison and pressured the individual to change earlier statements by questioning whether weapons had actually been used during the robbery.
Judges rejected arguments from several defendants that they had played only minor roles or were not deeply involved in planning the attack. The court found the robbery had been carefully organised, involved substantial preparation and was carried out in broad daylight using weapons against multiple victims.
Appeals Court Reduces Sentences
Although the appeals court upheld the convictions, it modestly reduced the prison terms imposed on all six defendants.
The alleged ringleader saw his sentence reduced from eight years to seven years and six months. Two accomplices who had each received seven-year prison terms in the original trial had their sentences reduced to six years and six months and six years respectively. The remaining defendants received prison terms ranging from four to five years.
The court said the reductions reflected developments that occurred after the original trial rather than any reassessment of the seriousness of the crime.
Specifically, some defendants reached financial settlements with victims, while several victims informed the court they no longer wished to pursue punishment. Those factors were considered sufficient to justify limited sentence reductions without changing the court’s overall assessment that the robbery had been meticulously planned and exceptionally serious.
The Victims Were Running Their Own Investment Fraud
The case took an unusual turn during the broader criminal investigation.
Authorities ultimately determined that the employees working at the robbed call centre were themselves members of an organised stock investment fraud operation. Investigators alleged the group operated illegal stock recommendation chat rooms and investment scams that generated more than ₩1.2 billion through fraudulent activities.
Police subsequently arrested members of that organisation as well.
The unusual circumstances meant both the perpetrators of the armed robbery and the victims they targeted ultimately faced criminal proceedings arising from separate offences.
While the appeals court acknowledged that the robbery targeted an illegal enterprise, it made clear that this did not reduce the defendants’ criminal responsibility. The judgment emphasised that organised violence, planned armed robbery and serious bodily injury remain grave offences regardless of the criminal conduct of the victims.
The case also highlights the increasingly complex intersection of organised crime, investment fraud and digital assets. As cryptocurrencies become more widely used to hold proceeds from financial crimes, law enforcement agencies are encountering cases where traditional organised criminal groups increasingly target digital assets held by other criminal organisations, creating investigations that span both violent crime and financial fraud.