‘Stock Manipulation Allegations’ Kang Young-kwon, Edison Motors Chairman, Faces Detention... Appears for Warrant Hearing

Regarding questions about admission of charges, "I have nothing to say"

Kang Young-kwon, chairman of Edison Motors, who has been suspected of stock manipulation following the failed acquisition of SsangYong Motor, is attending the pre-arrest detention hearing at 10:30 a.m. on the 7th at the Seoul Southern District Court.
Photo by Yoo Byung-don tamond@

[Asia Economy Reporter Yoo Byung-don] Kang Young-kwon, chairman of Edison Motors, who faced allegations of stock manipulation following the failed acquisition of Ssangyong Motor, is now at risk of detention.

On the 7th at 10:17 a.m., Kang appeared at the Seoul Southern District Court for a pre-trial detention hearing (warrant review). When asked by reporters about his acknowledgment of the charges and his absence the previous day, he briefly replied, “I have nothing to say,” before entering the courthouse.

The Seoul Southern District Court will conduct the warrant review for Kang Young-kwon and three other Edison Motors officials at 10:30 a.m. that day. The decision on whether to detain Kang and the others is expected to be announced later that afternoon.

Kang and the others did not appear at the warrant review scheduled for the previous morning. It was reported that they requested a postponement from the court just before the hearing.

The Seoul Southern District Prosecutors’ Office’s Joint Financial and Securities Crime Investigation Team filed pre-trial detention warrants for the three individuals on the 4th, charging them with violations of the Capital Markets Act and other offenses.

Edison EV (now Smart Solutions), a listed company that served as Edison Motors’ funding channel, saw its stock price surge on news of the Ssangyong Motor acquisition attempt, but the merger collapsed after failing to secure acquisition funds.

During this process, the major shareholder investment association sold most of its shares and realized profits, causing losses to ordinary shareholders and sparking controversy over stock manipulation. Edison EV, whose trading was suspended, filed for bankruptcy in court in May.

After detecting Edison Motors’ violations of the Capital Markets Act and unfair trading practices, the Financial Supervisory Service transferred the case to the Seoul Southern District Prosecutors’ Office via a “fast track” process, bypassing the Securities and Futures Commission review for swift prosecution.

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