Kim Keon-hee Special Prosecutor Arrests Yang Namhui, Chairman of Well Biotech, Over Stock Manipulation Allegations... Likely to Request Arrest Warrant

[Financial News] The Kim Keon-hee Special Prosecutor Team, headed by Min Joong-ki, has taken Yang Namhui, chairman of Well Biotech, into custody over allegations of stock manipulation.
On the 13th, the Special Prosecutor Team announced that Yang, a suspect in violation of the Capital Markets Act, was arrested and is currently being questioned. The team explained, "Given recent cases of suspects fleeing and other circumstances, there is a high risk that Yang would not comply with summons and might attempt to escape until the end of the investigation." They added, "We obtained an arrest warrant from the court and are currently investigating him under that warrant."
Yang is accused of manipulating stock prices in 2023 by misleading investors into believing that Well Biotech and SAMBU CONSTRUCTION would participate in the Ukraine Reconstruction Project. Kihun Lee, former chairman of Well Biotech and also vice chairman of SAMBU CONSTRUCTION, has been identified as a key link between the two companies. The Special Prosecutor Team has been investigating Lee as a central figure in the alleged stock manipulation involving both companies. During the period when the companies were grouped as Ukraine reconstruction stocks, investors reportedly gained 40 billion won in capital gains through the issuance and sale of Convertible Bonds (CBs).
According to the Criminal Procedure Act, a suspect can be detained for up to 48 hours after arrest. If authorities wish to seek a detention warrant, they must apply within this period. The Special Prosecutor Team is expected to request an arrest warrant immediately after completing the investigation today or tomorrow. The court must promptly conduct a pretrial detention review for the arrested suspect.
theknight@fnnews.com Jung Kyung-soo Reporter