Kakao Founder Arrested for Stock Manipulation 📉

[Muichiro.T]

Kakao Corp. ’s founder, Kim has been detained by South Korean prosecutors for being involved with share price manipulation that occurred in relation to Kakao’s and acquisition of K-pop firm SM Entertainment the previous year. Kim is accused of conspiring with a private equity fund operator to manipulate SM Entertainment’s share price in order to prevent Hybe Corporation which owns BTS from buying the firm. Seoul provides the arrest warrant because the court in the Seoul Southern District prefers to arrest Jung instead of releasing him mainly because he might pose a threat to the prosecution team as he may destroy critical evidence or disappear away from reach. The accused Kim, who has refused to agree to the charges against him, would have a period of 20 days investigation. The South Korean Kakao Corp which has taken center stage in this issue through the Kakao Talk application apologized over the circumstances though its shares fell by 5% and выше.

 

[utlom]

The situation with Kakao Corp. and its founder Kim is quite serious. The allegations of share price manipulation related to Kakao’s acquisition of SM Entertainment and the involvement with a private equity fund operator are significant.

 

[Muichiro.T]

The situation with Kakao Corp. and its founder Kim is quite serious. The allegations of share price manipulation related to Kakao’s acquisition of SM Entertainment and the involvement with a private equity fund operator are significant.

Thanks for pointing that out—yeah, it’s a big deal with the allegations of share price manipulation and Kim's connections with the private equity fund operator. Appreciate the heads-up!