[La Deok-yeon Gate] Prosecution Requests Arrest Warrants for 2 Close Associates of La Deok-yeon in 'SG Securities Crash Incident'

The prosecution investigating the 'SG Securities-triggered crash' has requested arrest warrants for two close associates of CEO Ra Deok-yeon Hoan.

On the 11th, the Joint Investigation Team comprising the Seoul Southern District Prosecutors' Office Financial Securities Crime Joint Investigation Unit (Chief Dan Seong-han), the Financial Services Commission, and the Financial Supervisory Service announced that they have applied for arrest warrants against Ra's closest aides, Mr. Byun (40) and former professional golfer Mr. Ahn (33), on charges of violating the Capital Markets Act and the Act on the Aggravated Punishment of Specific Economic Crimes related to Concealment of Criminal Proceeds.

[Image source=Yonhap News]

The joint investigation team is accelerating efforts to secure the custody of the stock manipulation gang responsible for the SG Securities-triggered crash. Judge Yoo Hwan-woo, in charge of warrants at the Seoul Southern District Court, is conducting a pre-arrest detention hearing (warrant substantive examination) for CEO Ra this morning. The decision on Ra's detention is expected to be announced as early as late this afternoon.

The 'SG Securities-triggered stock price crash' refers to an incident since the end of last month where eight stock items sold through SG Securities hit their daily lower limits consecutively, raising suspicions of stock price manipulation. CEO Ra and his accomplices are suspected of artificially inflating stock prices through collusive trading.

※ This SG Securities-triggered stock price crash has sounded an alarm for the order of the capital market. Readers' tips will be a great help in uncovering the truth. We welcome any information regarding investment damage cases, suspicions of stock manipulation and asset concealment by Ra Deok-yeon’s side, details related to the mass sales by major shareholders of Dow Data and Seoul Gas, or any other relevant tips (jebo1@asiae.co.kr). Asia Economy will do its best to establish a transparent capital market order.