Forecast, Kamko City Wins First Trial... "Focusing All Efforts on Resolving Kamko City"

[Asia Economy Reporter Song Seung-seop] The Korea Deposit Insurance Corporation (KDIC) announced on the 30th that it won the lawsuit to restore voting rights for Camko City shares in the Cambodian court.

Over the past year, KDIC has been conducting a lawsuit to cancel the provisional injunction restricting the exercise of voting rights against Mr. Lee, the representative of the Camko City developer. Although the Cambodian Supreme Court recognized ownership of 60% of Camko City shares in the appeal trial of the stock return lawsuit related to Camko City in February last year, Mr. Lee restricted the voting rights, preventing KDIC from exercising shareholder rights.

The Camko City project was a $2 billion private project to build commercial and residential facilities in Cambodia. Mr. Lee, the project operator, borrowed 236.9 billion KRW from Busan Savings Bank through project financing (PF). However, due to setbacks in the sales process and the bankruptcy of Busan Savings Bank in 2012, 38,000 people were unable to recover their deposits.

A KDIC official stated, “The debtor may attempt to delay the process through lawsuits by appealing this ruling, so additional measures are necessary,” and emphasized, “We will continue to focus all our capabilities on resolving the Camko City issue.”

This content was produced with the assistance of AI translation services.