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Photo = Yonhap news |
[Alpha Biz= Reporter Kim Sangjin] Prosecutors have indicted an executive from LS Securities (formerly eBest Investment Securities) for allegedly using insider information related to real estate project financing (PF) to gain hundreds of billions of won in illicit profits.
On December 16, the Seoul Central District Prosecutors' Office’s anti-corruption investigation division indicted Kim, an executive at LS Securities, on charges of violating the Capital Markets Act and the Act on the Aggravated Punishment of Specific Economic Crimes (breach of trust). Two accomplices, former LS Securities employee Yoo and executive Hong, were indicted without arrest.
Kim, while being an executive at the securities firm, is accused of secretly operating a real estate development company and using insider information for personal gain. Prosecutors allege that Kim misappropriated 83 billion KRW in PF loans, personally acquiring approximately 60 billion KRW, and took a bribe of 5.5 billion KRW related to his duties at the securities firm.
Yoo, who is also charged, allegedly acquired 15 billion KRW out of the 83 billion KRW in PF loans. Hong, who worked at the construction company involved in the real estate PF project, is accused of falsifying documents to pass the bid evaluation process and participating in the execution of the PF loan funds.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
