Attempt to Identify Links Between Investment Firms and Fair Trade Commission Investigations
The special prosecutor team led by Min Jungki, which is investigating allegations related to First Lady Kim Gunhee, launched a compulsory investigation into the Fair Trade Commission on August 11 in connection with the so-called "Butler Gate" case.
First Lady Kim Gunhee is arriving at the special prosecutor Min Jungki's office set up in the KT Gwanghwamun Building West, Jongno-gu, Seoul, on the morning of the 6th. 2025.08.06 Photo by Joint Press Corps
That afternoon, the special prosecutor's office announced to the media, "In relation to the 'Butler Gate' case, we are currently conducting a search and seizure procedure at the Fair Trade Commission to obtain materials necessary for the investigation." Investigators and prosecutors were dispatched to the Corporate Group Bureau of the Fair Trade Commission located in the Sejong Government Complex to secure documents.
The search and seizure was carried out to examine the details and background of the Fair Trade Commission's investigations into the investment companies involved in the "Butler Gate" case.
The "Butler Gate" case centers on suspicions that IMS Mobility?a rental car company formerly known as BeMyCar, in which Kim Yesung, known as the First Lady's butler, was involved in founding?was in a de facto capital erosion state, yet investment firms such as HS Hyosung invested a total of 18.4 billion won in June 2023 through the fund management company Oasis Equity Partners (Oasis). It is alleged that these companies made investments to Kim, a close associate of the First Lady, in exchange for favors to resolve their own business issues.
It has been confirmed that some of these investment firms were under investigation by the Fair Trade Commission before and after their investments. HS Hyosung, for instance, was facing allegations such as omission of affiliate disclosures, holding affiliate shares under borrowed names by the owner family, and tax evasion. After investing a total of 3.5 billion won in IMS Mobility, HS Hyosung received a warning from the Fair Trade Commission as a result of the subsequent investigation.
The special prosecutor team is reportedly examining whether there is any connection between the companies' investments and the regulatory actions taken by the authorities. Previously, the team summoned and questioned Kim Ikrae, former chairman of Daou Kiwoom Group, Yoon Changho, former CEO of Korea Securities Finance, Ryu Geungseon, CEO of Kakao Mobility, and Cho Hyunsang, vice chairman of HS Hyosung, in relation to these suspicions.
Meanwhile, Kim, the key figure in the allegations, left for Vietnam in April and has since gone into hiding. He is currently the subject of an Interpol red notice.
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