Police Launch Investigation into Four DI Dongil Executives on Charges of Breach of Trust

Suspicion of Public Offering for Company Fund Loan to Maintain Foundation's Largest Shareholder Status

Police have launched an investigation after a complaint was filed alleging that executives of DI Dongil, a KOSPI-listed company, caused approximately 10 billion KRW in damages to the company.

On the 2nd, the Suseo Police Station in Seoul announced that they are investigating DI Dongil Chairman A, two CEOs, and a full-time auditor?four individuals in total?on charges of violating the Commercial Act and the Act on the Aggravated Punishment of Specific Economic Crimes (breach of trust).

[Image source=Yonhap News]

A shareholder, Mr. B, who filed the complaint against the DI Dongil executives, claimed that they conspired to lend about 10 billion KRW of company funds to the 'Jeongheon Foundation,' the largest shareholder of DI Dongil, in order to maintain the foundation's majority shareholder status over a three-year period starting in 2020.

Shareholder B also pointed out that the executives did not follow internal decision-making procedures, such as obtaining board approval, when lending the company funds.

A police official stated, "We received the complaint on the 30th of last month and assigned the case on the 2nd."

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