Prosecutors Release Former CEO of Ssangbangwool Affiliate Who Voluntarily Returned to Korea

[Asia Economy Reporter Kim Hyung-min] A CEO A of an affiliate of Ssangbangwool Group, who was placed on Interpol's red notice and voluntarily returned to Korea to be arrested by the prosecution, was released on the 21st.

According to the legal community on the day, the Criminal Division 6 of Suwon District Prosecutors' Office (Chief Prosecutor Kim Young-nam) allowed A to go home as the detention period expired in the afternoon.

Earlier, the prosecution had obtained an arrest warrant for A last month and requested a red notice from Interpol. A, who was staying in France, recently expressed his intention to return and entered the country on the 19th, immediately being taken into custody by the prosecution.

The prosecution, investigating Ssangbangwool Group for embezzlement, breach of trust, and violations of the Capital Markets Act, is examining whether there was breach of trust in the convertible bond transaction process of company B, where A was CEO, and the extent of A's involvement.

The prosecution received suspicious fund flow data of Ssangbangwool from the Financial Intelligence Unit (FIU) and is reviewing the fund flow relationships among affiliates, including the sale process of convertible bonds (CB) worth 4.5 billion won issued by Ssangbangwool in 2020. At the same time, they are also investigating circumstances where Lee Hwa-young, CEO of KINTEX, allegedly received about 10 million won in cash and benefits, including corporate card use, from Ssangbangwool during his tenure as vice governor of Gyeonggi Province.

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