Woori Bank and Mirae Asset Securities Partially Win Compensation Lawsuit in 'Lime Incident'

Woori Bank and Mirae Asset Securities have been compensated for part of the losses caused by the redemption suspension incident involving approximately 1.6 trillion won.

The Civil Division 13 of the Seoul Southern District Court (Chief Judge Choi Jeong-in) ruled on the 14th in favor of the plaintiff in part in the damages lawsuit filed by Woori Bank against Shinhan Financial Investment and Lime Asset Management.

The court ordered, "The defendants shall pay the plaintiff approximately 45.32 billion won." However, the court did not provide specific reasons for the judgment.

Woori Bank filed a damages lawsuit in February 2022, claiming approximately 64.74 billion won from Shinhan Financial Investment and Lime for losses incurred from selling Lime funds.

The court also ruled partially in favor of the plaintiff against Mirae Asset Securities, which suffered losses of approximately 10.22 billion won due to the Lime incident. It ordered Shinhan Financial Investment and Lime to pay Mirae Asset Securities approximately 9.08 billion won.

The Lime incident refers to the 2019 case where Lime Asset Management was suspected of manipulating returns through illicit transactions involving convertible bonds (CB) of KOSDAQ companies, causing the stock prices held in Lime-managed funds to plummet and resulting in a redemption suspension amounting to approximately 1.6 trillion won.