South Korean police have raided the Jaseng Hospital of Korean Medicine and its affiliated medical foundation over an alleged insurance fraud scheme.
A report by The Chosun Daily said the operation is part of an investigation into alleged insurance fraud involving the treatment of traffic accident patients.
The Seoul Metropolitan Police Agency's Metropolitan Investigation Unit said investigators carried out search and seizure operations on Wednesday at five locations, including Jaseng Hospital of Korean Medicine in Seoul's Gangnam district and the Jaseng Medical Foundation. Authorities are seeking prescription records and other documents as part of the probe.
The investigation follows a complaint filed in April by four insurance companies, including Samsung Fire & Marine Insurance and Hyundai Marine & Fire Insurance. According to The Chosun Daily, the insurers alleged that the hospital routinely prescribed herbal medicine to traffic accident patients in order to obtain hundreds of billions of won in insurance payouts. The complaint reportedly identified 23 individuals as suspects, including the chairman of the Jaseng Medical Foundation and the heads of 21 Jaseng Hospital branches across South Korea.
Police are set to examine the seized records to determine whether there is evidence of insurance fraud.