A South Korean court approved early on Tuesday a prosecution request for a warrant to arrest Brian Kim, the billionaire founder of tech giant Kakao Corp, on accusations of stock manipulation during a 2023 acquisition.
It is the latest legal twist for Kakao after the company and an executive went on trial last year for alleged wrongdoing during the same acquisition.
Prosecutors say Kim was involved in manipulation of the stock price of SM Entertainment in February last year to hinder a competitor, Hybe, from acquiring the K-Pop agency.
Not yet formally charged, Kim has denied the accusations, saying he has never ordered or tolerated any illegal activity, the company said in a statement.
The high-profile tech entrepreneur is the largest shareholder of Kakao Corp, with a stake of 24% controlled by him or affiliated entities.
Persons:
Brian Kim, Kim
Organizations:
Kakao Corp, Prosecutors, SM Entertainment