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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] DI Dongil, a Kospi-listed company, said on March 11 that it was not involved in a stock manipulation case linked to one of its employees, stressing that the company itself is a victim.
In a statement posted on its website, the company said it respects the decision of the Securities and Futures Commission (SFC) following an investigation by authorities into unfair trading.
“According to the investigation results, the company was not involved in the case and our initial position—that DI Dongil is a victim—has been confirmed,” the company said.
Earlier the same day, the SFC under the Financial Services Commission referred 11 individuals and four companies to prosecutors on charges including stock price manipulation and unfair trading under the Capital Markets Act.
Authorities said the suspects recruited a DI Dongil executive and a securities firm employee, then pressured the company’s management under the guise of a minority shareholder campaign to sign a treasury stock trust agreement with a securities firm.
The suspects allegedly used the trust accounts to place treasury share purchase orders according to their own plan, manipulating the stock price and luring investors before selling part of their holdings at higher prices to realize profits.
DI Dongil said the actions of the executive involved were a personal misconduct unrelated to the company. The company added that it immediately suspended the executive from duty and initiated personnel measures after becoming aware of the issue.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
