Former Ssangbangwool Group Chairman Kim Sung-tae was additionally indicted on charges of embezzlement and breach of trust, prompting the Korea Exchange to suspend trading of Ssangbangwool's stock.
On the 6th, the Korea Exchange requested a disclosure inquiry from Ssangbangwool regarding reports of the additional indictment of former Ssangbangwool Group Chairman Kim Sung-tae on embezzlement and breach of trust charges. The deadline for response is 6 p.m. on the 7th. Following the disclosure inquiry request, trading of Ssangbangwool's stock was suspended from 7:35 a.m. that day.
Meanwhile, the Criminal Division 6 of Suwon District Prosecutors' Office (Chief Prosecutor Kim Young-nam) additionally indicted former Chairman Kim the previous day on charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes (embezzlement and breach of trust).
According to the prosecution, former Chairman Kim is accused of causing unfair profits to Kwanglim, an affiliate of Ssangbangwool Group, by purchasing Vivian shares held by Kwanglim at 7.8 billion KRW above the original price in December 2020.
He is also accused of arbitrarily using company funds by making a false contract with another listed company not affiliated with Ssangbangwool Group in March of the same year, paying 2 billion KRW of Ssangbangwool funds, then receiving the money back to repay stock-backed loans he owned.
Former Chairman Kim is currently on trial for embezzling 53.8 billion KRW from five unlisted companies (paper companies) established in the names of Ssangbangwool Group executives and employees in February, and for breach of trust by improperly supporting about 1.1 billion KRW to group affiliates. It is known that he denied most of the charges at the first trial held in May.
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