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Koo Yeon-kyung, CEO of LG Welfare Foundation (left), and her husband Yoon Kwan, CEO of BlueRun Ventures (BRV). (Photo: Yonhap News) |
[Alpha Biz= Kim Jisun] Prosecutors have requested prison sentences for Koo Yeon-kyung, eldest daughter of the late Koo Bon-moo, former chairman of LG Group and current head of the LG Welfare Foundation, and her husband Yoon Kwan, CEO of BlueRun Ventures (BRV), on charges of acquiring stocks using undisclosed information.
On December 16, at the Seoul Southern District Court, Criminal Division 13 (Presiding Judge Kim Sang-yeon), prosecutors asked the court to sentence Yoon to two years in prison with a fine of KRW 50 million, and Koo to one year in prison with a fine of KRW 20 million and KRW 105.66 million in restitution.
Prosecutors described the case as “a typical insider trading case,” noting that Yoon was at the center of favorable undisclosed information regarding a KRW 50 billion capital increase by Company A, and Koo executed a sudden purchase of Company A’s shares.
They added, “Based on the testimonies and the timeline of events, the only reasonable conclusion is that Koo Yeon-kyung’s purchase of Company A shares originated from material non-public information provided by Yoon.”
The couple has been indicted for allegedly gaining illicit profits by using undisclosed information related to a third-party allocation of Company A’s capital increase. Prosecutors state that in April 2023, Koo purchased 30,000 shares of Company A based on undisclosed investment information. The capital increase involved a KRW 50 billion investment by BRV Capital Management, with Yoon responsible for the investment decision.
During previous questioning before the sentencing, both defendants denied the allegations, claiming they never shared or used investment information regarding Company A. Koo explained that her decision to invest was based on discussions with a long-time acquaintance and her interest in the company’s development of a rare heart disease treatment.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
