Yuanta Securities Korea filed a claim for restitution against Lee Min-joo, chairman of Atinum Partners, following its past involvement with VIG Partners in the sale of Tongyang Life Insurance. Since Yuanta Securities Korea bore the full cost of the collateral loan product-related damages, amounting to over 190 billion won, it aims to recover at least a portion of that amount.
On the 8th, according to the financial investment industry, Yuanta Securities Korea filed a restitution lawsuit against Chairman Lee at the Seoul Central District Court last March. The plaintiff's claim amount is approximately 6.5 billion won. Yuanta Securities Korea had also filed a restitution claim against VIG Partners for 135 billion won in January.
Previously, China Anbang Insurance filed a claim for damages, which raised issues. Anbang Insurance claimed it suffered due to Yuanta Securities Korea, VIG Partners, and Chairman Lee, the sellers, failing to adequately disclose the risks associated with the meat collateral loan while acquiring the equity in Tongyang Life Insurance, and submitted a request for damages to the International Chamber of Commerce (ICC) International Arbitration Court in 2017.
A meat collateral loan refers to loans borrowed from financial institutions using meat stored in warehouses by distributors as collateral. Tongyang Life Insurance has been handling meat collateral loans since 2007; however, due to issues with defaults, it suffered losses amounting to 380 billion won in 2016.
The International Arbitration Court recognized the seller's liability in 2020 and ordered Anbang Insurance to pay 166.6 billion won in damages. Subsequently, Anbang Insurance applied to domestic courts for approval and enforcement of the arbitration award and achieved partial success. Yuanta Securities Korea and others appealed against this decision, but the Supreme Court dismissed the appeal in November of last year.
Following the court's decision, Yuanta Securities Korea paid 191.1 billion won to Anbang Insurance, covering damages, delay penalties, and litigation costs. While Yuanta Securities Korea has accepted full responsibility for now, it maintains that Chairman Lee and VIG Partners should also share the burden.
A representative from Yuanta Securities Korea noted, 'The court specified that the exercise of the right to restitution among joint sellers is possible based on the internal burden ratios, and we have filed a claim against the joint sellers based on this.'