South Korean Police Seizes Crypto for Non-Payment of Fines as Part of Pilot: Report

The city of Gunpo was selected to be part of the pilot programme in the beginning of 2022.

South Korean Police Seizes Crypto for Non-Payment of Fines as Part of Pilot: Report

Photo Credit: Pixabay/ Big_Heart

Korean police has begun seizing crypto for unpaid traffic fines

  • The pilot programme appears to have proved as a success for authorities
  • The town of Gunpo was selected to be a part of the pilot programme
  • South Korea set up a Digital Asset Committee in June

South Korea's National Police Agency has begun experimenting a pilot programme that involves seizing virtual assets for non-payment of fines. As per a report by a local news outlet, the pilot is being tested to facilitate digital collections of arrears and negligence fines through the local Gunpo Police Station. The report noted that police recently seized and collected virtual currency worth KRW 50 million (roughly Rs. 30.2 lakh) owned by a lawless person whose salaries and deposits were seized due to non-payment of traffic arrears fine of about KRW 2.5 million (roughly Rs. 1.51 lakh).

Gunpo, a city of about 275,000 in the northwestern Gyeonggi province of South Korea, was selected by the national government to execute the pilot programme in 2022. A recent report from the JoongBoo Ilbo news outlet stated that the programme was a way to collect delinquent funds in an “untact,” or contactless fashion.

The program appears to have been successful, at least in the first half of 2022, with Gunpo police achieving an 88 percent collection rate on traffic fines amounting to $668,000 (roughly Rs. 5.3 crore), putting the city on pace to vastly exceed its goal of chasing $759,000 (roughly Rs. 6.04 crore) in traffic fines by the end of the year.

In a translated statement, Kwak Kyung-ho, head of the Gunpo Police Station, said that the aim is that faithful payers do not feel deprived amid the pandemic, but contrarily, the police intend to toughen collections from delinquents.

The development also follows the seizure of nearly $50 million (roughly Rs. 398 crore) in cryptocurrency from 12,000 people previously suspected of tax evasion (via FT) in South Korea. In Japan as well, the authorities had laid down a proposal to confiscate illegally acquired crypto assets, gaining more power over digital wallets.

Meanwhile, reports also suggest that South Korean financial regulators might revisit its current legislation on digital currencies after announcing the launch of a Digital Asset Committee earlier in June. The Financial Services Commission also launched a joint task force on Wednesday to establish a framework for digital assets, a week after the watchdog vowed to remove regulatory uncertainty in South Korea's crypto industry.

Do the Galaxy Z Fold 4 and Z Flip 4 offer enough over last year's models? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.
Affiliate links may be automatically generated - see our ethics statement for details.

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Vietnam Orders Technology Firms, Telecom Operators to Store User Data Locally, Set Up Local Offices
Share on Facebook Gadgets360 Twitter Share Tweet Snapchat Share Reddit Comment google-newsGoogle News


Follow Us
© Copyright Red Pixels Ventures Limited 2024. All rights reserved.
Trending Products »
Latest Tech News »