The detention of former Sambu Engineering & Construction Vice Chairman Lee Ki-hoon, who is accused of taking part in Well Biotec stock manipulation, has been extended.
According to legal sources on the 20th, the Seoul Central District Court's Criminal Division 32, presided over by Chief Judge Ryu Kyung-jin, issued an additional arrest warrant for the former vice chairman on the 18th on grounds of evidence destruction and flight risk, as Lee faces charges including violating the Financial Investment Services and Capital Markets Act and engaging in fraudulent unfair transaction.
Earlier, in July last year, while under investigation in the Sambu Engineering & Construction stock manipulation case, the former vice chairman did not appear for a court hearing to review his arrest warrant. After going into hiding for 55 days, Lee was eventually arrested in Mokpo, South Jeolla, and was indicted and detained in September last year.
As the expiration of Lee's detention approached, special counsel team led by Min Joong-ki asked Criminal Division 32, which is hearing the Well Biotec case, to issue an additional arrest warrant. The court accepted the request. The original detention expiration date was the 25th.
The former vice chairman is accused of reaping unfair gains by spreading rumors with Well Biotec Chairman Yang Nam-hee and others between May and Oct. 2023 that Well Biotec would take part in Ukraine's reconstruction project, pushing up the share price and then selling shares at high prices. Well Biotec's share price rose from the 1,600-won range in late May 2023 to the 5,200-won range two months later, nearly tripling.
Initially, the special counsel viewed their unjust gains at 30.2 billion won, but on the 10th submitted an application to amend the indictment and corrected the amount to 21.5 billion won.