[Featured Stock] Amorepacific Falls Over 3% Amid News of Employee Embezzlement Involving 3 Billion KRW

[Asia Economy Reporter Myung-hwan Lee] Amorepacific is experiencing a decline on the morning of the 17th following news of employee embezzlement.

As of 9:57 a.m. on the day, Amorepacific is trading at 156,000 KRW, down 3.70% (6,000 KRW) from the previous trading day. The holding company AmoreG is also trading at 43,400 KRW, down 3.02% (1,350 KRW) compared to the previous day.

The morning decline in Amorepacific’s stock is attributed to reports that company employees embezzled approximately 3 billion KRW of corporate funds. According to industry sources on the 17th, three sales employees at Amorepacific embezzled company money and used it for stock and virtual asset investments as well as illegal gambling funds.

They misappropriated company assets by using fraudulent methods such as skimming payments after supplying products to clients, issuing false estimates and tax invoices, and cashing in gift certificates. The company’s personnel committee disciplined these employees and took measures to recover the embezzled funds.

A company official explained, "Since the amount does not exceed 5% of equity capital, it is not subject to mandatory disclosure, so it was not publicly announced. The issue was detected internally through an audit, and most of the embezzled funds have been recovered."