South Korean Police Arrest No. 2 Man Behind Largest Pyramid Scheme
David Lee, Dec. 18, 2015, 9:59 a.m.
Prosecutors formally arrested the right-hand man to the mastermind behind South Korea's largest pyramid scheme, officials said Friday. The district court in the southeastern city of Daegu issued a warrant to arrest Kang Tae-yong, noting there are considerable reasons to believe he committed crimes. Two days before, Kang was extradited from China where he had been hiding since 2008.
Kang is accused of swindling about 4 trillion won (US$3.5 billion) from an estimated 40,000 people between 2004 and 2008, along with his boss, Cho Hee-pal. Kang told reporters on Wednesday that Cho died in 2011 and he had witnessed it. Cho was rumored to have died from cardiac arrest there four years ago, though his death has not been verified.