Nine individuals, including a former prosecutor investigator and police officer, were collectively indicted for stock price manipulation to secure overseas escape funds for Lee In-kwang, the chairman of Esmo and the main culprit of the so-called 'Lime Scandal.' They are accused of obtaining illegal profits totaling 20 billion KRW through stock price manipulation.
On the 23rd, the Financial and Securities Crime Joint Investigation Division of the Seoul Southern District Prosecutors' Office (Chief Prosecutor Gong Jun-hyeok) announced that it indicted eight people, including former prosecutor investigator A (58) and former police officer B (47), on charges of violating the Capital Markets Act by manipulating stock prices of two KOSDAQ-listed companies (five of whom were indicted in custody). Additionally, a broker who received large sums of money under the pretext of suppressing the investigation was indicted on the 20th on charges of violating the Attorney-at-Law Act.
Through cooperation with the police, the prosecution identified clues that Lee, the main culprit of the Lime Scandal, manipulated the stock price of company G, related to secondary batteries, to secure overseas escape funds during his arrest in France around March 18. The investigation revealed that the stock manipulation group, including former prosecutor investigator A and police officer B, gained illegal profits worth approximately 14 billion KRW through market manipulation. Lee is currently undergoing extradition procedures in France.
Furthermore, it was confirmed that the stock manipulation group, including B, also manipulated the stock price of another KOSDAQ-listed company N, which is engaged in medical quantum sensor technology, earning illegal profits of about 6 billion KRW.
Additionally, it was uncovered that the police-origin broker received a total of 80 million KRW under the pretext of suppressing the investigation. The prosecution has taken seizure preservation measures on the defendants' real estate and luxury vehicles to confiscate criminal proceeds.
A representative of the Southern District Prosecutors' Office stated, "We will do our best to ensure that the principle that financial and securities criminals who disrupt market order must pay the price is firmly established in the capital market."
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