Special Prosecutor Accelerates "Butler Gate" Probe...
Kakao Mobility CEO Ryu Geungseon Summoned Over IMS Investment
Lee Jongho Also Implicated in Lobbying Allegations to Save Former Marine Commander Lim Sungkeun
Yoon Sukyeol's wife, Kim Gunhee, is leaving the voting booth after casting her vote at the Seocho 4-dong 3rd polling station set up at Wonmyeong Elementary School in Seocho-gu, Seoul, on the 3rd of last month, the day of the 21st presidential election. Photo by Yonhap News
The special prosecutor team led by Min Jungki, which is investigating the full range of allegations against Kim Kunhee, has intensified its focus on the so-called "Butler Gate" and stock price manipulation allegations, thereby increasing pressure on Kim.
On the 21st, the special prosecutor's team summoned and questioned Lee Jongho, the former CEO of Black Pearl Invest, who is known to have managed Kim's accounts, on charges including violations of the Attorney-at-Law Act.
Lee was indicted along with Kwon Osu, former chairman of Deutsche Motors, and others for participating in the Deutsche Motors stock price manipulation that occurred between 2009 and 2012, and received a suspended prison sentence confirmed by the Supreme Court. He was found to have led price manipulation with Kwon and others using borrowed-name accounts from October 2010 to December 2012, which is classified as the second phase of the operation.
The court determined that three of Kim's accounts and one account belonging to her mother, Choi Eunsun, were used in the price manipulation. Lee was identified as the person who managed Kim's accounts.
Additionally, Lee is implicated in the lobbying allegations to save Lim Sungkeun, former commander of the 1st Marine Division. During the investigation, the special prosecutor's team found that five former Marines, including Lee, participated in the "Meotjin Haebyeong" group chat, which was identified as the channel through which lobbying efforts for Lim were made. The suspicions arose after it became known that Lee mentioned Lim's name in the chat room.
Furthermore, on the 21st, the special prosecutor's team summoned and questioned Ryu Geungseon, CEO of Kakao Mobility, who invested in IMS Mobility (IMS, formerly Be My Car), a rental car company reportedly founded with the involvement of Kim Yesung, known as Kim's butler.
At 9:53 a.m. that day, Ryu arrived at the special prosecutor's office located in the KT Gwanghwamun Building West in Jongno-gu, Seoul. He did not respond to reporters' questions about whether he had instructed the investment in IMS and proceeded directly to the investigation room.
The special prosecutor's team had also planned to summon and question Cho Hyunsang, vice chairman of HS Hyosung, on the same day. However, Cho changed his schedule to the 22nd, citing an overseas business trip, but has not yet provided a clear date for his return to Korea or his appearance before the investigators.
Originally, the special prosecutor's team notified Cho to appear for questioning on the 17th, but his side informed them that he would be attending the 3rd Asia-Pacific Economic Cooperation (APEC) Business Advisory Council (ABAC) meeting in Haiphong, Vietnam, from July 15 to 18 (local time) for a three-day, two-night schedule, making his appearance on that date impossible. As a result, the schedule was changed to the 22nd.
Cho and others invested 18.4 billion won in June 2023 in IMS, through the fund management company Oasis Equity Partners (Oasis), despite knowing that IMS was effectively in a state of capital erosion. The special prosecutor's team is also investigating the purchase of approximately 4.6 billion won worth of IMS shares held by an investment company called Innovest Korea. Innovest is reported to have been established by Kim in 2022, and its only internal director at present is his wife, identified as Ms. Jeong.
The special prosecutor's team is investigating the circumstances and background of investments in IMS by HS Hyosung, Kakao Mobility, Korea Securities Finance Corporation, Daou Kiwoom Group (Kiwoom Securities), Shinhan Bank, JB Woori Capital, Hancom Value Investment, Gyeongnam Steel, and others.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
