South Korea Dismantles Illegal Betting Ring Worth $1.9 Billion

South Korean police dismantled an illegal organization that handled betting transactions worth $1.9 billion. The North Chungcheong Provincial Police Agency said in a statement on Tuesday that 43 suspects had been arrested and 18 people had been taken into custody. The network reportedly ran nine illegal betting sites from bases in Malaysia, South Korea and the United Arab Emirates, offering sports betting, baccarat and slot games.

Investigators tracked betting transactions totaling 2.668 trillion won ($1.9 billion) between May 2022 and February 2026. However, they believe the real figure may be far higher.

The case began with a kidnapping. A South Korean man in his 40s, who led operations from Malaysia, was abducted on April 17 by three South Koreans. They stopped his vehicle as he traveled from Genting Highlands to Kuala Lumpur. The kidnappers demanded a ransom of $10 million in cryptocurrency, and an aide paid $3 million. Malaysian police found the hostage four days later at a property in Melaka and arrested the kidnappers. However, it emerged that the rescued man's passport had been cancelled and that he was the subject of an Interpol Red Notice over illegal betting activities. He was also arrested.

According to the investigation, the organization has been operating since 2016. It was reported that leaders in the three countries managed payment, customer service and software development teams. The group allegedly recruited university professors and former company employees, used English aliases, and held weekly performance meetings.