Rep. Lee Soo-jin of the Democratic Party of Korea, who was indicted on charges of receiving money and valuables from Kim Bong-hyun, the former Star Mobility chairman and the main culprit in the "Lime fund scandal," was confirmed not guilty on the 10th. This is because prosecutors gave up appealing after the first-instance court acquitted Lee last month.
On this day, the Seoul Southern District Prosecutors' Office said it would not file an appeal against Rep. Lee, who was indicted on charges including violations of the Political Funds Act, and Kim Kap-soo, former Spokesperson of the Uri Party. Prosecutors said, "As a result of closely reviewing the first-instance court's decision, all relevant evidence, and the possibility of a different outcome on appeal."
However, prosecutors appealed the first-instance court's not-guilty verdicts for Ki Dong-min, former Democratic Party lawmaker, and Kim Young-choon, former Minister of the Ministry of Oceans and Fisheries, who were indicted together on the same charges. Prosecutors said, "In the case of the two, there are credible statements by the donors and corroborating evidence, so it is necessary to seek a ruling from the appellate court."
Earlier, on 26th, Judge Jeong Sung-hwa of the 11th single-judge criminal division of the Seoul Southern District Court acquitted the defendants who were indicted on charges including mediation bribery under the Act on the Aggravated Punishment, etc. of Specific Crimes and violations of the Political Funds Act.
Judge Jeong said, "Kim Bong-hyun's notebook, which prosecutors presented as key evidence, is inconsistent in the time of writing, amounts, and methods." He added, "Kim Bong-hyun's statements also are difficult to find credible because they do not match (the notebook), among other reasons." He went on, "There is a lack of objective physical evidence or specific circumstances that the defendants received money and valuables, making it insufficient to find guilt beyond a reasonable doubt."
The Lime fund scandal is a case in which Lime Asset Management, a private fund manager that once handled about 590 billion won, announced a suspension of redemptions for 177 funds in Oct. 2019, causing losses of about 1.6 trillion won for more than 4,000 investors. The former chairman Kim was known as Lime Asset Management's moneyed backer (錢主) and the main culprit.
Previously, former Rep. Ki was indicted without detention in Feb. 2023 on charges that, while a candidate in the 20th general election between Feb.–Apr. 2016, he received 100 million won in political funds and a suit worth about 2 million won from former Chairman Kim in connection with brokering permits related to the Yangjae-dong freight terminal site and for election funds.
Lee, a lawmaker, is also accused of receiving 5 million won in Feb. 2016; former Minister Kim received 5 million won in Mar. of the same year; and former Spokesperson Kim received 50 million won in Feb. of that year.