Overview
- Seoul Central District Prosecutors Office requested warrants to question Michael (Byung-ju) Kim and three senior executives on fraud and Capital Markets Act violations tied to Homeplus.
- Prosecutors allege the executives anticipated a downgrade and pushed asset‑backed short‑term bonds in February 2025, exposing investors to losses.
- The Supreme Prosecutors' Office identified the others as Homeplus CEO and MBK Vice Chairman Kim Kwang‑il, MBK Vice President Kim Jeong‑hwan, and Homeplus CFO Lee Sung‑jin.
- MBK Partners denied the accusations, called the arrest request excessive, and said it will contest the applications in court.
- Korea Ratings cut Homeplus to A3‑ minus on Feb. 28, 2025, and the retailer entered court‑led rehabilitation in March after a watchdog referral spurred raids and executive summonses.