[Exclusive] Hyustem Korea CEO Lee Sang-eun Released After 5 Months... Court Approves Bail Request

Suspected 1 Trillion Won Ponzi Scheme
Trial to Proceed Without Detention

Lee Sang-eun, CEO of Huestem Korea, who is suspected of a 1 trillion won-scale illegal multi-level marketing fraud, will be released on bail. It has been about five months since he was arrested last December on charges of violating the Act on Door-to-Door Sales, etc.

The Criminal Division 31 of the Seoul Central District Court (Presiding Judge Park Jun-seok) accepted Lee's bail request on the 29th. Accordingly, Lee will stand trial while not in custody.

[Image source=Asia Economy DB]

Previously, Lee was arrested and indicted in January on charges of violating the Act on Door-to-Door Sales, etc., and was undergoing trial, but his bail request was once rejected on March 18.

Afterwards, Lee applied for bail again on the 9th of this month, and this time the court approved it.

Huestem Korea is accused of disguising transactions of agricultural, fishery, and livestock products through a multi-level marketing-like organization and embezzling more than 1.19 trillion won from 100,000 people under the pretext of membership fees.

Victims claim that the corporation promoted digital assets inflated by 2.6 times the invested amount as dividends, which could be converted into cash or used to purchase agricultural products, thereby attracting investors.

Separately, the Financial Crime Investigation Unit of the Seoul Metropolitan Police Agency is investigating Huestem Korea on charges of fraud and violation of the Act on the Regulation of Conducting Fund-Raising Business without Permission. Initially, this case was handled by the Seocho Police Station in Seoul, but for a swift investigation, the investigation was recently reassigned to the Financial Crime Investigation Unit at the Seoul Metropolitan Police Agency as the dedicated investigation office.