Illegal Gambling Plot Implicating Korean PC Cafes Busted

A PC cafe in Korea
Hachimaki/ Wikimedia Commons

A large illegal gambling plot involving PC cafes has been busted by police in South Korea. More than 2,000 PC cafes were involved in the operation, where more than $87 million was wagered. The plot included cross-border servers and a call center in Vietnam.

Police from Ulsan, a city on the east coast of the country, arrested nine individuals involved in the operation, including the team leader and gambling site operator. Six of those arrested were PC Cafe owners. The leader of the operation ran a fabric company while also operating the gambling organization.

The criminal ring frequently changed website addresses, names, and screen layouts to avoid any law enforcement tracking. Users wagered approximately 120 billion won, or about $87 million, on the illegal sites.

An International Gambling Operation

The servers and call centers were based in Vietnam, and many of the call center workers fled to the Philippines, making it a multi-country operation. The Vietnam call center reportedly operated 24 hours a day in three shifts.

Police are still tracking members in the Philippines through international cooperation.

PC Cafes in Korea

PC cafes or a “PC bang” are popular cultural meeting places in South Korea. Patrons use computers, play video games with friends, and hang out for an hourly fee. South Korea has some of the highest internet consumption rates in the world, making it a very computer-driven culture. Video games like League of Legends dominate leisure culture among many Koreans.

Those involved in the gambling operation took advantage of that culture by implementing the gambling in the PC cafes. The participating cafes operated sites offering baccarat and slots. The PC cafe culture of connecting with friends through computers was leveraged to increase trust. PC cafes even look somewhat like casinos, with multiple colorful screens close together and people playing highly stimulating games.

The gambling games appeared just like any other game at the cafe. Only an astute viewer would likely distinguish between them and gambling games.

The Ulsan police raided multiple PC cafes. They uncovered 25 mobile phones, 43 PCs, and laptops used for site development. They also froze or confiscated approximately $2.3 million in illicit funds.

Image: Hachimaki / Wikimedia Commons (image) (license)

Poker Writer

Jeffrey is an Expert Sports and Poker Writer with poker being his specific scope for the better part of five years. He has worked in various capacities at the biggest poker events in the world, WSOP, EPT, local tournaments and more. He has worked with PokerNews, Poker.Org, 888poker and the WSOP itself through the years. Jeff is also a fervent follower of many sports, professional, collegiate and international, with a particular interest in tennis. He received a Master's in Sports Management from the University of the Incarnate Word (UIW) and a Bachelors in the same field from Clemson University.