If you sent money for IPO shares
and the receiving account was not in the securities firm's name

Genuine subscription versus an impersonation app: where they differ

A genuine IPO subscription is made through your own account opened at a securities firm. The subscription deposit also goes out from there. There is no such thing as an offer to allocate "institutional shares" separately from the retail investor portion.

Impersonation organizations have you download an app that copies a securities firm's name and logo, then tell you to deposit the subscription money into an account in an individual's name or an unfamiliar company's name. The mere fact that the receiving account holder is not the securities firm itself should make you suspicious.

After the listing date passes, they say, "You made a gain, so you must pay taxes and fees first before you can withdraw." The excuse for blocking withdrawals changes every time.

The fact that it is a corporate account is actually a lead

In this high-value type of scam, organizations prefer corporate accounts. They set up shell companies, open accounts, and sell them. But for a company, the corporate register shows the representative and address, and the very fact that an account was opened in the company's name becomes the starting point for holding it liable.

In an IPO impersonation case handled by DAEON Law Firm, we named the company that circulated the accounts and its nominees as defendants together. A settlement recommendation decision (a court-proposed settlement that becomes binding if no one objects) under which the defendants would pay a total of KRW 200 million in installments became final as issued.

How we proceed

1. Report and request payment suspensionNotify the bank and 112 first. Because this type may be classified as fraud disguised as an investment transaction, payment suspension is sometimes not accepted, so you need to be ready to move to provisional attachment immediately if it is refused.
2. Preserve traces of the app and siteCollect the installation file name and download path, screenshots, and records of conversations with the "agents." In some cases the app is deleted remotely.
3. Identify the defendantsUsing the corporate register, investigation records, and court fact inquiries, we decide which companies and individuals to sue.
4. Provisional attachment, then damagesWe first secure the company's deposits and the representative's assets, then pursue the damages claim.

Frequently Asked Questions

Related DAEON Case Results

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Written on the basis of Korean statutes in force (National Law Information Center, Ministry of Government Legislation) and court precedents as of October 20, 2026. Results may differ with amendments to the law or the facts of each case. This page is general information, not legal advice.

Written and reviewed by Attorney Dongwoo Shin — Ph.D. in Law; certified criminal law specialist and certified divorce law specialist registered with the Korean Bar Association. He handles each case personally from consultation to judgment. About the attorney →
Last updated October 20, 2026