2025-05-19
(Korea Times, May. 19, 2025)
Prosecutors have imposed travel restrictions on MBK Partners Chairman Michael Byungju Kim in connection with an investigation into alleged fraud related to Homeplus’ March 4 corporate rehabilitation filing, according to legal sources, Monday.
The Seoul Central District Prosecutors’ Office recently placed Kim, a U.S. citizen, under a travel hold through the Ministry of Justice.
Under the Immigration Control Act, there are two types of travel restrictions for individuals involved in criminal cases — a travel ban for Korean nationals and a travel hold for foreign nationals. In practice, both measures have the same legal effect.
Prosecutors executed a search warrant on Kim last Saturday as he arrived at Incheon International Airport from London, following prior notice of his entry. During the operation, they reportedly seized his mobile phone.
Travel bans have also been imposed on Kim Kwang-il, a partner at MBK and co-CEO of Homeplus, and Joh Joo-yun, also a co-CEO of Homeplus.
MBK, a private equity firm, became the largest shareholder of Korea’s second-largest supermarket chain after acquiring a full stake from Britain’s Tesco in 2015.
Prosecutors and financial authorities suspect that MBK and Homeplus executives pushed ahead with the issuance of short-term bonds while concealing plans to file for corporate rehabilitation, despite being aware of an imminent credit rating downgrade.
Korea Ratings downgraded the retailer’s rating from A3 to A3- on Feb. 28, and the company filed for court receivership four days later, on March 4.
※ Please refer to the article: MBK chairman barred from leaving country amid Homeplus probe – Korea Times
