'EdisonEV·Diark Stock Manipulation' Corporate Raider "Denies Charges"

Ten individuals, including a "corporate raider" accused of manipulating the stock prices of KOSDAQ-listed companies EdisonEV and Diarc, denied all charges at their first trial.

At the first trial held on the 11th at the Seoul Southern District Court Criminal Division 13 (Presiding Judge Myeong Jae-kwon), all ten defendants, including the "corporate raider" Lee (52), Diarc executives, and accountants, who were indicted on charges including violations of the Capital Markets Act, denied the allegations.

According to the prosecution, Lee and others were indicted on charges of fraudulent unfair trading, including falsely disclosing that the value of an ovarian cancer treatment drug received by Diarc from a Canadian company was 365.1 billion KRW, despite having no intention or capability to proceed with the bio business around April 2020, thereby obtaining approximately 9.2 billion KRW in illicit gains.

In this process, accountant Park (45) and others are accused of receiving improper requests from Lee, issuing false valuation reports related to bio assets, and receiving 55 million KRW as service fees, charges that violate the Certified Public Accountant Act.

Another accountant, Lee (53), is accused of receiving entertainment and meals worth about 5.62 million KRW at nightlife establishments after being requested by the corporate raider Lee to conduct audits favorably.

Among them, the corporate raider Lee and two others are also involved in the stock price manipulation case of former Edison Motors Chairman Kang Young-kwon (64), who is already on trial. They are accused of manipulating the stock price to obtain 162.1 billion KRW in illicit gains by acquiring the KOSDAQ-listed company EdisonEV (now Smart Solutions), which was a funding channel for Edison Motors, without capital from May 2021 to March last year, and fabricating plans to acquire Ssangyong Motor and raise funds.

The next trial is scheduled for 10 a.m. on the 22nd of next month.

This content was produced with the assistance of AI translation services.