'Deutsche Stock Price Manipulation' Appeal Trial Postponed Until After General Election

Trial date scheduled for the 7th postponed to the 25th of next month
Change of presiding judge... Request for date change by Kwon Osu's side

The next trial in the appeal of the Deutsche Motors stock manipulation case, in which First Lady Kim Geon-hee is suspected to be involved, has been postponed until after the general election.

First Lady Kim Geon-hee [Image source=Yonhap News]

According to the legal community on the 3rd, the Criminal Division 5 of the Seoul High Court (Chief Judge Kwon Soon-hyung, Judges Ahn Seung-hoon, Shim Seung-woo) changed the next hearing date of the appeal trial for former Deutsche Motors Chairman Kwon Oh-soo and others, who are charged with violating the Capital Markets Act, from the originally scheduled date of the 7th to the 25th of next month.

It is reported that this change was made following the recent regular court personnel reshuffle last month, which altered the composition of the trial panel, and the defense for former Chairman Kwon requested additional time to renew the trial proceedings and explain the issues.

The trial is still in the witness examination phase, so it is expected that more time will be needed after the next hearing before the conclusion procedures can begin.

With the delay in the appeal trial, there are prospects that the speed of the prosecution’s investigation into the suspicions involving First Lady Kim Geon-hee may also slow down. The prosecution continues to investigate related parties but maintains the position that it is fundamentally necessary to wait for the results of the appeal trial of former Chairman Kwon and others.

Former Chairman Kwon was indicted in December 2021 on charges of manipulating Deutsche Motors’ stock price in collusion with so-called 'stock manipulation players' and current and former securities firm executives from 2009 to 2012, after the stock price fell following Deutsche Motors’ backdoor listing. In February last year, he was sentenced in the first trial to two years in prison with a three-year probation and fined 300 million won. Notably, the first trial court recognized that three accounts under First Lady Kim’s name were used for price manipulation. This reignited suspicions of her involvement, and opposition parties have been urging the prosecution to investigate by proposing a special prosecutor law.