CEO of Entertainment Agency Arrested and Indicted for Buying Bad Private Loans with 20 Billion Won Investment from Lime Fund

[Image source=Yonhap News]

[Asia Economy Reporter Yoo Byung-don] The CEO of an entertainment agency, accused of purchasing non-performing bonds with money invested from the Lime Fund and embezzling company funds, has been brought to trial.

The Criminal Division 6 of the Seoul Southern District Prosecutors' Office (Chief Prosecutor Jo Sang-won) announced on the 13th that Kim was arrested and indicted on charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes (embezzlement and breach of trust).

Kim is accused of receiving an investment of 20 billion won under the name of the entertainment agency he operates from the Lime Fund at the request of Lee, chairman of A company, a KOSDAQ-listed firm, and then investing it in A company's non-performing convertible bonds, causing damage to the company. A company's convertible bonds were reportedly deemed worthless due to a disclaimer of opinion from the auditor.

Kim is also charged with embezzling approximately 8.6 billion won of company funds in collusion with Lee. Lee is currently reported to have fled overseas.