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South Korea pyramid scheme suspect arrested

A key suspect in South Korea’s largest ever fraud case has been arrested. The man, identified only as Kim, is alleged to have been an executive manager of Lib Inc, a company accused of running a pyramid scheme that is suspected of cheating up to 50,000 people out of 4 trillion won (US$3.4 billion). Lib Inc is thought to have run 10 leasing companies which lured potential investors with false promises of high returns on their investments. Investigators said Kim had attempted to escape to China along with the company owner, Cho Hee-pal, who is thought to have fled there in 2008, but had failed due to bad weather.