Lee In-kwang, chairman of Esmo and one of the main culprits of the Lime scandal, and Lee, former CEO of the KOSDAQ-listed company DA Technology, who is accused of conspiring with him, have been arrested.
The Joint Investigation Unit on Financial and Securities Crimes of the Seoul Southern District Prosecutors' Office (Chief Prosecutor Ha Dong-woo) announced on the 9th that a detention warrant for Lee was issued by the court on charges of breach of trust and embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes.
According to the prosecution, Lee is accused of causing damage to the company by providing 4 billion won of DA Technology's funds to external parties under the pretext of investment funds to Chairman Lee. It is also reported that Lee embezzled about 23 billion won by using company funds for personal purposes such as repaying personal debts.
He is also accused of assisting Chairman Lee's overseas escape by hiring Lee's secretary as a DA Technology employee and paying salary to prepare funds for Lee's flight.
Chairman Lee mobilized about 130 billion won of Lime funds to consecutively acquire KOSDAQ-listed companies including DA Technology, and after manipulating the stock prices of these companies, he was placed under prosecution investigation and fled overseas for over four years before being arrested in France last month.
The prosecution reorganized the Lime fund investigation team from the second half of last year and conducted related investigations, and from early this year, they began full-scale arrests of Chairman Lee and his domestic accomplices.
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