Seoul Metropolitan Police Agency Conducts Raid on Korean Air Holding Company Hanjin KAL

Police have conducted a search and seizure operation targeting Hanjin KAL, the holding company of Hanjin Group which has Korean Air as an affiliate.

The Financial Crime Investigation Unit of the Seoul Metropolitan Police Agency announced today (the 7th) that it recently executed a search and seizure warrant at Hanjin KAL and other locations on charges including breach of trust under the Act on the Aggravated Punishment, etc. of Specific Economic Crimes.

This raid comes one year after the civic group Citizens' Coalition for Livelihood and Economy filed a complaint in May of last year against Hanjin Group Chairman Cho Won-tae and Hanjin KAL CEO Ryu Kyung-po on charges including violations of the Capital Markets Act.

At the time, the civic group argued that Hanjin KAL contributed 440,044 treasury shares to the in-house employee welfare fund to defend management control, claiming it was an unfair donation lacking any necessity other than protecting control over the governance structure.

When Hoban Group, the second-largest shareholder of Hanjin KAL at the time, increased its stake in Hanjin KAL from its previous 17.44% to 18.46%, Hanjin KAL publicly disclosed just a few days later that it would contribute 0.66% of its treasury shares to its in-house employee welfare fund.

(Photo: Yonhap News)
※ Please note: This article was translated by AI and may contain errors.