Ex-member of rock band Boohwal referred to prosecutors for involvement in investment scam worth over $136M
Published: 23 Nov. 2025, 14:16
Updated: 23 Nov. 2025, 15:39
![Singer Kim Jae-hee, a former member of the rock band Boohwal [JSE ENTERTAINMENT]](https://koreajoongangdaily.joins.com/data/photo/2025/11/23/f5ba04b9-eea0-42d0-a999-bffd2cea3e72.jpg)
Singer Kim Jae-hee, a former member of the rock band Boohwal [JSE ENTERTAINMENT]
Kim Jae-hee, a former member of rock band Boohwal, was recently referred to prosecutors for his alleged role in an investment scam worth over 200 billion won ($136 million).
Kim was referred on charges including fraud under the Act on the Aggravated Punishment of Specific Economic Crimes and violations of the Act on the Regulation of Conducting Fund-Raising Business Without Permission, according to legal sources on Sunday.
Police previously arrested two co-heads of the scam’s parent company and booked 67 accomplices without detention, including Kim.
From December 2022 to August 2023, the suspects allegedly raised 208.9 billion won in illegal investment funds by promising investors that they would receive their principal and high returns. The group had 35 branches across the country and drew in 30,000 investors through a Ponzi scheme, in which returns for earlier investors are paid using funds from new investors.
As of now, the number of confirmed victims stands at 306, with estimated damages totaling 19 billion won.
Kim, who served as the vice chair and internal director of the company, is believed to have promoted the business at investment briefings across the country — even performing songs during the events.
Through these activities, he reportedly received 100 million won in wages, a luxury car valued between 60 and 70 million won and other goods worth around 80 million won.
However, Kim denied any knowledge of the fraud during police questioning, reportedly stating that he did not realize the operation was criminal in nature.
Kim made his debut in 1993 with the hit song “The More I Love” and served as the vocalist on Boohwal’s third and fourth albums. He is also the younger brother of the late Kim Jae-gi, Boohwal’s third lead vocalist.
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY HONG JOO-HEE [[email protected]]
with the Korea JoongAng Daily
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