Special Prosecutor's Investigation into Stock Manipulation of Samboo Construction

On July 2, Special Prosecutor Min Joong-ki, who is investigating the case involving Kim Geon-hee, the spouse of former President Yoon Suk-yeol, unveiled the office sign at the Special Prosecutor's office located in the KT Gwanghwamun Building in Jongno, Seoul. The Special Prosecutor's team announced on July 7 that they plan to summon Jeong Chang-rae, the former CEO of Samboo Construction, for questioning on July 9 at 10 AM, followed by Lee Il-jun, the chairman, on July 10 at 10 AM.

On the same day, the Special Prosecutor's team began questioning a member of the Eurasian Economic Association, identified as Mr. Han. The major shareholder of Samboo Construction, DYD, which is owned by Lee Il-jun, had previously issued a press release on June 23, 2022, claiming that Samboo Construction had signed a memorandum of understanding (MOU) with the Eurasian Economic Association for a reconstruction project in Ukraine. However, it has been reported that no such MOU was actually signed.

Financial authorities investigating the stock manipulation allegations against Samboo Construction suspect that the company may have disseminated false information regarding the Ukraine reconstruction project to artificially inflate its stock price prior to the actual manipulation that occurred in May 2023.

On July 3, the Special Prosecutor's team conducted searches at 13 locations, including six corporate entities such as Samboo Construction, DYD, and Iseok Industrial Development, as well as the residences of former and current executives, including Jo Nam-wook, the former chairman of Samboo Construction. On July 4, they interrogated Lee Eung-geun, the former CEO of Samboo Construction, for approximately ten hours, as he was responsible for overseeing the company's Ukraine reconstruction project.

The Special Prosecutor's team is continuing its investigations into other targets as well. Deputy Special Prosecutor Moon Hong-joo stated, "We have also conducted weekend summons for other cases and are employing various methods such as analyzing seized materials and tracking accounts to advance our investigation."