Police in South Korea's North Chungcheong Province have arrested 87 individuals in connection with an international illegal online gambling operation. Authorities estimate the network's turnover at approximately $2 billion between May 2022 and February 2026.
International operation with Asian bases
According to police, the gambling network had been active since 2016, running betting and online casino platforms. The organisation reportedly operated out of Malaysia and the United Arab Emirates, targeting customers internationally.
Recruitment of skilled professionals
The organisers are said to have used recruiters to attract highly qualified staff for departments such as payments, customer service, and software development. Recruited specialists included university lecturers, employees from major corporations, and former staff of overseas social media companies.
Local development and distribution
The network established a company in South Korea focused on developing gaming engines, which were then sold to other illegal operators. This indicates a level of technical sophistication and a potential supply chain for other unlicensed gambling activities.
Implications for the industry
For operators and affiliates, the case highlights the ongoing risks and legal consequences of participating in or facilitating unlicensed online gambling, particularly across multiple jurisdictions. Regulators may step up enforcement and cross-border cooperation in response to such large-scale operations. Suppliers should be cautious about the end use of their technology and services.
Key takeaways
- South Korean police arrested 87 people in a $2bn illegal gambling case.
- The network operated betting and online casino sites from Malaysia and the UAE.
- Specialists from various fields were recruited to run the operation.
- A local company developed and sold gaming engines to other illegal operators.