Alphabiz - Financial Incidents in Korea Hit Record High in 2024

Photo courtesy of Yonhap News

[Alpha Biz= Paul Lee] SEOUL, May 26 — Financial incidents in South Korea reached a record high last year, occurring nearly every other day, highlighting rising risks across the sector.

According to industry data, a total of 188 cases were reported in 2024, with combined losses amounting to KRW 431.9 billion. The trend has continued this year, with 50 cases and KRW 73.9 billion in damages recorded as of April.

Fraud accounted for the largest share of losses, totaling KRW 505.3 billion across 253 cases since 2020, often involving schemes such as falsified lease contracts. Breach of fiduciary duty and embezzlement also contributed significantly to total damages.

By sector, banks accounted for more than half of all incidents, with KRW 769.8 billion across 381 cases, followed by the securities industry. Other affected sectors included card companies, savings banks, and insurance firms.

The data underscores growing concerns over internal controls and risk management across Korea’s financial industry.

Alphabiz Ellie Kim 인턴기자(press@alphabiz.co.kr)