25.09.17.Today News : Two Chinese Nationals Arrested for KT Small Payment Hacking Using Illegal Base Station

Two Chinese Nationals Arrested for KT Small Payment Hacking Using Illegal Base Station

📍Police arrest suspects at Incheon Airport and Seoul; over 200 victims and damages exceeding 170 million won

Two Chinese nationals have been arrested for illegally hacking KT mobile phone users and making unauthorized small payments. Police confirmed that the suspects carried an illegal portable base station in a vehicle and used it to intercept phone signals. With over 200 victims and damages surpassing 170 million won, the investigation is expanding to uncover accomplices and clarify the exact methods used.

Chinese nationals suspected of illegal micro-payment fraud have been apprehended by police.

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■ Portable Base Station Installed in Vehicle
On the 17th, the Cyber Crime Unit of the Gyeonggi Nambu Provincial Police Agency announced the arrest of two Chinese nationals, identified as A (48) and B (44), in connection with the KT small payment hacking case.
A is accused of installing an illegal portable base station in a van and driving around targeted areas in the Seoul metropolitan region, intercepting KT users’ mobile signals to make unauthorized purchases such as gift vouchers and transit card charges. Police also seized the equipment used in the crimes.

■ Arrested at Airport and in Seoul
Police apprehended A on the 16th at 2:00 p.m. at Incheon International Airport as he re-entered Korea from China. Less than an hour later, B was arrested in Yeongdeungpo, Seoul, at 2:53 p.m.
B is believed to have been responsible for cashing out the illicitly obtained vouchers. Investigators are still probing the extent of his connection with A and whether the two suspects coordinated directly.

■ Damages Expand Across Metropolitan Areas
The case first surfaced in Soha-dong, Gwangmyeong, when residents reported unauthorized withdrawals through small payments. Soon after, similar incidents emerged in Geumcheon (Seoul), Bupyeong (Incheon), Bucheon, and Gwacheon (Gyeonggi).
By the 12th, police had confirmed 199 related cases, amounting to 126 million won in damages. However, the Ministry of Science and ICT reported KT’s internal tally at 278 cases and losses of 170 million won, suggesting the true scale could be larger. Victims have expressed shock as the payments were made without their knowledge.

■ Suspects Identified Early but Arrest Delayed
Although police identified the suspects early, A had already left for China, complicating the arrest process. To avoid alerting the suspects, police requested a media embargo on the 11th. A, unaware of the investigation, was caught upon returning to Korea. Police executed a pre-issued arrest warrant against him.

■ Equipment Secured but Method Still Unclear
Police seized the illegal base station, which consisted of telecommunication components and antennas, but have not yet clarified exactly how the device enabled unauthorized payments. Experts suggest it may have been used to intercept or manipulate signals, highlighting vulnerabilities in mobile network security.

■ Possible Accomplices Under Investigation
While it currently appears that A acted alone in operating the equipment, police are investigating whether other accomplices were involved. B’s role was primarily in converting digital vouchers into cash, but the nature of his relationship with A remains unclear. Authorities are reviewing communications and financial records to determine whether they collaborated.

■ Police Plan to Request Arrest Warrants
After completing preliminary questioning, police announced they would seek arrest warrants for both suspects.
A police spokesperson stated, “Given the risk of flight and destruction of evidence, we will proceed with warrants and thoroughly investigate the motives, methods, possible accomplices, and additional damages. This case underscores the evolving nature of cybercrime and the need for stronger telecom security measures.”

One-line summary : Two Chinese nationals were arrested for using an illegal base station to hack KT users’ phones and make repeated unauthorized payments.