Background
Voice phishing rings recruit so-called "launderers" to withdraw the proceeds in cash or convert them into virtual assets and move them out. The problem is that a great many of those launderers are people who were themselves deceived into being used for the crime, through offers of "high-paying part-time work" or "virtual asset exchange services." Anyone who looks like a simple participant is easily punished for aiding fraud, violation of the Electronic Financial Transactions Act and similar offenses. Changchun represented clients identified as such "launderers."
The Issue — Was There "Intent"?
The key question was whether our clients knew, or were at least willfully blind to, the fact that their conduct contributed to a voice phishing crime (intent to aid). Investigators looking only at the outcome readily treat such people as participants.
How Changchun Helped — From Defense to a Preemptive Complaint
Changchun (attorneys Jaesun Yoon, Donghwan Shin and Kyungseok Park) did not stop at passively denying the allegations but adopted a preemptive strategy actively establishing that our clients were themselves victims deceived by the voice phishing ring. We ① set out in concrete terms how each client came to be involved after being deceived by the ring, and the circumstances that led them to believe it was ordinary currency exchange or part-time work; ② had our clients file criminal complaints against the ring (the perpetrators) first, making their status as victims unmistakable; and ③ analyzed the flow of funds through virtual asset exchanges to prove that our clients could not have known the money was criminal proceeds.
As a result, the clients Changchun represented were all acquitted, or had their cases closed without even being booked. The case shows how completely the outcome can differ depending on who fights it and with what strategy, even among those labeled "launderers." As cases involving suspected money laundering through virtual asset exchanges continue to rise, an early response strategy matters more than anything. (Outcomes may differ depending on the facts of each matter.)