STAR SM REIT recently suspended trading due to embezzlement by employees, but announced that it has recovered 1.08 billion won of the embezzled amount.
On the 28th, a STAR SM REIT official noted, "During the company's internal audit, it was confirmed that 1.08 billion won was repaid, and the schedule and method for repaying the remaining amount are being coordinated." The remaining amount is 2 billion won, which is 3.2% of its equity.
STAR SM REIT was subjected to a two-month business suspension administrative action from the Ministry of Land, Infrastructure and Transport due to the embezzlement incident. To resolve the situation, it is promoting a public sale. The management submitted letters of resignation to ensure smooth sales and changes in management.
STAR SM REIT was listed on the stock market in 2016, and the largest shareholder, "Al136," holds 11.17% equity. Last year, the name changed from Modetour Network to STAR SM REIT, and it is primarily engaged in owning and operating MD hotels in Dongtan and Doksan-dong.