58 Arrested over Fake Kangwon Land Gambling Sites Targeting 40,000 Koreans

ANDONG, South Korea – Police have apprehended 58 people accused of running illegal gambling sites that impersonated Kangwon Land.

The operation allegedly drew about 40,000 Korean users and handled roughly ₩78 billion ($55 million) in deposits. Five of the 58 suspects were detained as investigators continue pursuing people linked to the overseas operation.

The Gyeongbuk Provincial Police Agency’s cyber investigation unit identified a Russian national as the alleged leader of the group’s South Korean operations. The remaining suspects included people accused of managing accounts and recruiting bank accounts registered in other people’s names.

Deepfake Ads Impersonated Kangwon Land

Police allege the group promoted the gambling sites through social media while using Kangwon Land’s logo without authorization. The sites were presented to Korean users as an official online gambling service associated with the state-run casino, while promotional material also included deepfake videos using the faces and voices of well-known athletes.

Kangwon Land, located in Jeongseon County in Gangwon Province, is the only casino resort in South Korea permitted to admit Korean nationals. Police stressed that Kangwon Land does not operate an online gambling website, making the copied branding central to the alleged deception.

Investigators said the targeted gambling sites operated with licenses from jurisdictions where online gambling is permitted and provided casino games in 35 languages, including Korean. Those overseas licenses did not authorize the operators to provide the service to South Korean gamblers.

Police Trace ₩78 Billion Through Borrowed Accounts

The alleged network operated between October 2022 and August 2025, according to investigators. Police estimate Korean users deposited approximately ₩78 billion during that period, with the group allegedly using around 70 borrowed-name bank accounts to process deposits and withdrawals.

The accounts were reportedly changed about once a month in an effort to make the money harder to trace. Police divided the alleged domestic network into roles that included an operations leader, account managers and people responsible for recruiting the accounts used to move gambling funds.

Investigators also sought preindictment preservation of about ₩1.5 billion in assets linked to alleged criminal proceeds. South Korean reports said a court approved preservation of the full amount, preventing the assets from being disposed of while the criminal investigation proceeds.

South Korea Expands Online Gambling Crackdown

The arrests add to a broader South Korean crackdown on illegal online gambling. National police said in June that 2,319 people had been arrested across 1,746 cyber gambling cases during a seven-month enforcement campaign, with ₩107.2 billion in suspected criminal proceeds seized.

The Kangwon Land case stands out because investigators say the operators combined the identity of a legal casino with deepfake advertising and overseas gambling infrastructure to attract domestic users. Police are continuing to investigate overseas members of the network and trace additional proceeds connected to the sites.

RELATED TOPICS: Regulation