Kakao founder requests to stand trial without detention in SM stock case

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Kakao founder requests to stand trial without detention in SM stock case

Published: 17 Oct. 2024, 14:33

LEE JAE-LIM
lee.jaelim@joongang.co.kr

Kakao founder Kim Beom-su [NEWS1]

Kakao founder Kim Beom-su has requested to stand trial without detention, denying allegations of illegal involvement in stock manipulation related to SM Entertainment shares during Kakao’s attempt to takeover the K-pop agency.

“I’ve attended hundreds of meetings, but I never once approved or concluded anything illegal or unlawful,” Kim said during a bail hearing held at the Seoul Southern District Court on Wednesday, according to reports from the JoongAng Ilbo.

“The prosecution keeps referring to ‘Kakao’s side’ and mentioning many things that I had no part in, which is frustrating. While I believe I will be able to fully clarify and address these points in court, I would appreciate it if the court could consider that I am caught in an unfair situation.”

Kim was arrested on July 23 under charges of artificially inflating SM Entertainment shares by colluding with private equity fund OneAsia Partners in an attempt to block its competitor, HYBE, from acquiring it between Feb. 16 and 17, and Feb. 27 and 28 last year.

He was indicted with detention on Aug. 8 to stand trial.

Prosecutors allege that Kim, as the chief decision-maker, was aware of the stock manipulation plan before its execution and that executives systematically gathered funds to implement the scheme.

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]