A sign hangs in front of the Min Jung Ki special prosecutor's office established at the KT Gwanghwamun Building West in Jongno-gu, Seoul, on the 2nd. /Courtesy of News1

The Kim Keon-hee special prosecutor team, led by Min Jung-ki, has summoned key figures, including Kakao founder Kim Beom-su and HS HYOSUNG Vice Chairman Cho Hyun-sang, as witnesses related to the so-called 'butler gate'. The shares of the companies involved are showing weakness.

HS HYOSUNG shares were traded at 74,800 won in the KOSPI market at 9:05 a.m. on the 15th, down 4.96% (3,900 won) from the previous day. At the same time, Kakao and Kiwoom Securities recorded declines of over 1% and 2%, respectively.

As the investigation into 'butler gate' intensifies, it appears that many investors are selling their shares. Kim Keon-hee's special prosecutor's office noted in a press release the previous day, "We have summoned four individuals in connection with the so-called butler gate." Those summoned have been ordered to appear for questioning on the 17th at 10 a.m.

The Kim Keon-hee special prosecutor's office is investigating corruption allegations related to Kim Ye-seong, who is known to have acted as a butler for Kim Keon-hee and her mother, Choi Eun-soon. The key issue is that companies invested 18.4 billion won in IMS Mobility, a loss-making rental car firm run by Kim, through funds from large corporations and financial institutions in 2023.

The corporations that invested were under judicial risk at the time, raising questions about whether they expected Kim to leverage his connection with Kim Keon-hee to gain assistance.

It is reported that Kim met Kim Keon-hee while attending the Graduate School of Business at Seoul National University in 2010. Kim served as an auditor at Cobana Contents, an exhibition planning company run by Kim Keon-hee, from 2012 to 2015. He also created fraudulent balance certificates submitted to financial institutions when Choi Eun-soon bought real estate under a borrowed name in 2013. Kim was prosecuted in connection with this case and received a suspended sentence of six months in prison for two years.

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