Overview

• Michael Byung-ju Kim, chairman of MBK Partners, is under a foreign travel ban imposed by South Korean prosecutors investigating Homeplus bond fraud allegations.
• Authorities suspect MBK Partners and Homeplus knowingly issued short-term bonds ahead of a credit downgrade to defraud investors.
• Prosecutors executed a raid at Incheon Airport on May 17, seizing Kim’s mobile phone and other digital evidence upon his return from London.
• The investigation has escalated since late April, with raids on MBK and Homeplus headquarters and the homes of key executives, including co-CEOs Kim Kwang-il and Joh Joo-yun.
• Prosecutors are analyzing seized materials and preparing to summon top executives as suspects, with potential indictments forthcoming.