Prosecutors Raid Three Bithumb ‘Affiliates’ as Shareholder Scrutiny Intensifies
A number of South Korean firms related to the crypto exchange Bithumb – including the firm that owns a controlling share of its stock – have been raided by the prosecution service on embezzlement charges.
Per MBC, officers searched the offices of Vidente, a publicly listed video equipment-making company that owns a majority 34% tranche of Bithumb’s shares. They also raided INBIOGEN, a footwear and accessories producer, and Bucket STUDIO, a firm that produces entertainment-related content.
The media outlet added that executives from the firms are being investigated on suspicion of embezzling company funds.
While none of these companies appears to have a link with the crypto sector, they are believed to be owned by Kang Jong-hoon, a man widely believed to be the owner and “secret” chairman” of Bithumb.
Kang has reportedly been attempting to sell Bithumb for over a year after acquiring the exchange – and the other three companies – back in 2020. Some firms have also enquired about the possibility of buying Vidente, a move that would grant them control over Bithumb.
A leading South Korean media outlet earlier this month published a comprehensive exposé of Kang earlier this month, alleging that he had appointed the older sister of his celebrity girlfriend, the actress Park Min-young, as an INBIOGEN director. Park's sister has recently stepped down from her role at INBIOGEN, but prosecutors appear to believe that financial wrongdoings may be afoot at the companies.
Officers removed “accounting-related” documents and digital data from the three firms.
Prosecutors stated that the crypto exchange Bithumb was currently not part of their investigations.
Kang is a somewhat mysterious figure in the South Korean crypto industry – and does
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