"I Didn't Know It Was Embezzled Money" Family Members Fully Deny Charges in 221.5 Billion Won Ostem Embezzlement Case

First Hearing After Merging Charges of Crime Proceeds Concealment and Embezzlement Assistance
Trial of Employee Who Assisted Embezzlement to Be Separated and Held Again

[Image source=Yonhap News]

[Asia Economy Reporter Yoo Byung-don] The family of Lee Mo (44), the finance team leader of Osstem Implant accused of embezzling 221.5 billion won of company funds, has completely denied charges of concealing criminal proceeds.

The Criminal Division 14 of the Seoul Southern District Court (Chief Judge Kim Dong-hyun) held the first trial session on the afternoon of the 20th for Lee, his wife, and four family members accused of violating the Act on the Regulation and Punishment of Criminal Proceeds Concealment, as well as employees accused of aiding Lee's embezzlement. Previously, the court decided to consolidate the two cases after the prosecution additionally indicted Lee on charges of concealing criminal proceeds.

At the trial, Lee’s family stated, "It is true that we purchased luxury resort memberships, three officetels, and a commercial building together with Lee, but we did not know that the source of the money was embezzled funds," fully denying the prosecution’s allegations. The employees accused of aiding Lee’s embezzlement also claimed, "We were unaware of the embezzlement."

According to the prosecution, Lee’s wife, Park Mo, used part of the embezzled funds to purchase real estate and memberships worth approximately 7.5 billion won under her name and Lee’s sister’s name. Lee, along with his sister and father, used about 69 billion won of the embezzled money to buy 855 one-kilogram gold bars. Among the gold bars, 497 were found at Lee’s hideout, 254 at his father’s residence, and 100 at his sister’s house.

Meanwhile, during the trial, Lee’s defense attorney requested, "Since the evidence differs between the employees accused of aiding and the defendant, please separate the arguments," to which the court responded, "We will separate the arguments of the employees accused of aiding."

The Seoul Southern District Prosecutors’ Office reported on the 22nd that Lee’s wife, sister, and sister-in-law actively conspired with Lee to conceal the criminal proceeds and indicted them together on charges of concealing criminal proceeds.

Additionally, two employees who worked together in the finance team were judged to have knowingly aided Lee’s criminal acts and were sent to trial on charges of aiding embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes.

Lee is accused of siphoning off 221.5 billion won from corporate accounts to his own account in eight installments since March last year. Part of the embezzled funds was invested in stocks, resulting in a loss of about 76.1 billion won.

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