The financial authorities have launched an on-site investigation into the private equity fund (PEF) management firm MBK Partners. The investigation has resumed five months after a review in March related to allegations of Homeplus bond issuance.
According to the financial authorities on the 27th, the Financial Commission and the Financial Supervisory Service deployed investigation personnel to the MBK office in Gwanghwamun, Seoul, to initiate the on-site investigation.
It is reported that the investigation on that day focused specifically on MBK's unfair practices related to the Homeplus incident.
Previously, the financial authorities focused intensively on allegations of fraudulent trading against MBK Partners' management. There are suspicions that they concealed the preparation for the corporate rehabilitation process of Homeplus and issued short-term bonds.
This investigation is said to involve a closer look at the financing methods and acquisition process when MBK acquired Homeplus.
Some observers suggest that this re-investigation reflects the willingness of FSS Chairman Lee Chan-jin. Chairman Lee has criticized the decision made last July to select MBK Partners as a fund manager for the National Pension Service (NPS), which he described as "a company that specializes in acquiring, restructuring, and reselling corporations after mergers," noting that "selecting MBK as a fund manager is an act of embezzlement against the citizens who are members."