There is growing interest in whether prosecutors will appeal the acquittal of Kakao founder Beomsoo Kim in the first trial of the SM Entertainment stock price manipulation case. According to the Criminal Procedure Act, if an appeal is not filed within seven days of the verdict, the ruling becomes final, so prosecutors must make a decision by October 28. It has been reported that prosecutors are carefully considering whether to appeal this case.
Kakao founder and Management Innovation Committee Chairman Beomsoo Kim, who is suspected of conspiring to manipulate SM Entertainment's stock price, is leaving the court after being acquitted at the first trial sentencing held on the 21st at the Seoul Southern District Court in Yangcheon-gu. Photo by Yonhap News
The cautious stance of the prosecution appears to be related to recent moves by the government to reform the appeals system. On September 30, President Lee Jaemyung (Judicial Research and Training Institute, 18th class) presided over a Cabinet meeting, where he criticized the prosecution's habitual practice of filing appeals and called for improvements to the system.
At the meeting, President Lee stated, "There are cases where people are unfairly indicted, spend years and money going through trial, are acquitted, and yet the prosecution appeals for no reason." Jeong Seongho (18th class), Minister of Justice, who attended the Cabinet meeting, also agreed on the need to restrict appeals and further appeals.
In the trial regarding the merger of Samsung C&T involving Samsung Electronics Chairman Lee Jaeyong, prosecutors appealed and filed for further appeal after an acquittal, but the Supreme Court ultimately upheld the not-guilty verdict. Since then, there have been calls both inside and outside the legal community to improve the mechanical practice of appeals, with criticism that the appeals system-originally intended to protect defendants' rights-is being used as a means for prosecutors to prove charges.
The first trial court's criticism also appears to be a burden for the prosecution in deciding whether to appeal. The 15th Criminal Division of the Seoul Southern District Court (Presiding Judge Yang Hwansung) stated, "If it were not for the testimony of Junho Lee, former Head of Investment Strategy at Kakao Entertainment, which the prosecution presented as key evidence, the defendants would not have been in court, and some might not have been detained at all. Former Head Lee, under extreme pressure not only during this case but also in separate investigations, gave false testimony contrary to the facts, which appears to have led to the prosecution (of Beomsoo Kim and others)."
Lee Sangwoo, The Law Times Reporter
※This article is based on content supplied by Law Times.
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